Today’s
expected range for the Canadian Dollar against the US Dollar is .9825-.9925
Today’s
expected range for the Canadian Dollar against the Euro is 1.3030-1.3175
Today’s
expected range for the Canadian Dollar against Sterling is 1.5640-1.5750
The US Dollar is stronger this morning as an anti-Euro
sentiment seems to be taking hold once again and what appears to be an
increasing sentiment (among hedge funds and money centre economists unfolding) that
the US Dollar is going to do better over the next few weeks.
In Europe German Retail Sales came in worse than
expected and with the current banking environment looking weak EURO.USD fell to trade at 1.3235 and looks set
to test lower today. Elsewhere the US Dollar continues to soar against the
Japanese Yen as the combination of deflation in that economy, a Central Bank
that is pouring money into the economy and a weakening currency are all
expected to give the Japanese economy a big boost. With this trend unfolding in
Japan, continued uncertainty in Europe
and with what looks like a recovery underway in the US it certainly looks like
we may see currency investors start to move back into US Dollars and push the
Greenback higher over the next few weeks.
The big question is how this will affect the Canadian
dollar? Indications from earlier this week would point to this trend having a
positive effect on the Loonie and for that matter all Commodity currencies but
it will take a few weeks to see if this is true. If we see EURO.USD fall over
the next few sessions and USD.CAD does not jump higher back above .9900 then I
think the Loonie may be in for a bit of a run.
A quiet overnight session for the Canadian dollar as
it has settled into its new trading range, as I mentioned yesterday I think it
will oscillate around the .9900 level for the next little while. Up today we
may get some action for the Loonie as we await the Canadian GDP report for
December and the overall fourth quarter, we are expecting a month over increase
of 0.3% and an annualized rate in the fourth quarter of 1.9%, these are not
numbers that will set an economists heart racing but at least the economy is
still growing, hopefully a rebound in the US economy will pour some life into
our economy. If the number is worse than expectation look for USD.CAD to jump
back above .9900, if it is better than expectation then we will test the .9850
level again.
Have a great weekend
Mike
GFX FOREIGN EXCHANGE MORNING UPDATE
Friday, March-02-12
Market Indicators * For current market prices please contact our currency advisors or visit
ouron line site at www.gfxpartners.ca *
| Currencies | 7:00am Today's Opening | Yesterday's Opening | |||||
| USD/CAD | 0.9864 | 0.986 | |||||
| CAD/USD | 1.0138 | 1.0142 | |||||
| EUR/USD | 1.325 | 1.3324 | |||||
| EUR/CAD | 1.3071 | 1.3139 | |||||
| STG/CAD | 1.5709 | 1.5722 | |||||
| AUD/CAD | 1.0637 | 1.0621 | |||||
| CAD/JPY | 82.57 | 82.15 | |||||
| CAD/CHF | 0.922 | 0.917 | |||||
| CAD/HKD | 7.8642 | 7.8637 | |||||
| CAD/CNY | 3.3818 | 6.3862 | |||||
| Commodities | |||||||
| Gold | $1,717 | $1,711 | |||||
| OIL | $108.29 | $107.20 | |||||
| Option Volatility | |||||||
| Canada | |||||||
| O/N | 7.00% | 12.00% | |||||
| 1 Week | 9.00% | 9.30% | |||||
| 1 Month | 8.50% | 8.85% | |||||
No comments:
Post a Comment