GFX Morning Commentary July 12, 2013

Good Morning,

Today’s expected range for the Canadian is 1.0340-1.0440

Today’s expected range for the Canadian Dollar against the Euro is 1.3520-1.3600

Today’s expected range for the Canadian Dollar against Sterling is 1.5660-1.5740

The US Dollar is for the most part unchanged this morning, after a very tough week for the Greenback it looks like FX markets are taking their time to assess the damage and see where the US Dollar will go from here. The biggest currency mover overnight was once again the Aussie Dollar as it dropped over 100 points, most of the recent Aussie Dollar weakness is on the back of expected interest rates cuts in that country. From the looks of the overnight trading ranges both the Euro and Sterling have had quiet nights and should remain quiet today.

The Canadian Dollar had a dull night as it settles into its new trading range, we will have to wait and see what develops over the next few sessions to see if this Canadian Dollar strength will extend over the short-term or will USD.CAD push back higher, either way I do think US Dollar buyers should be looking at these levels as good opportunity to pick up some cheap US Dollar. US Dollar sellers may see a bit of a pullback above 1.0400 but again I would not hold off too long expecting a quick run back to 1.0500 or 1.0600, I think that will be very hard to achieve.

Have a great weekend, I will be out of the office today, if you need anything just ask for Randy.

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0374			1.038
CAD/USD		0.964			0.9634
EUR/USD		1.305			1.3069
EUR/CAD		1.3541			1.357
STG/CAD		1.5684			1.5713
AUD/CAD		0.9405			0.9574
CAD/JPY		95.71			0.9552
CAD/CHF		0.9142			0.9132
CAD/HKD		7.4538			7.4472
CAD/CNY		5.9078			5.9043
CAD/MXN		12.41			12.3544
Commodities
Gold		$1,274.00			$1,283.00
OIL		$104.72			$106.09
US DOLLAR INDEX
P.CLOSE		82.91			84.2
OPEN		83.3			83.16
US 10YR YIELD		2.57%			2.68%