GFX Afternoon Commentary

Good afternoon,

Below are the current daily levels vs. the other major currencies.

USD.CAD 1.0510 up 0.53%

GBP.CAD 1.6982 up 0.87%

EUR.CAD 1.4160 up 0.80%

We continue to see the Japanese currency fall versus major peers after the Bank of Japan stuck to its pledge to expand the monetary base a day after the Federal Reserve signaled a reduction in asset purchases “in coming months.” The EURO continues to rise against the major currencies as European Central Bank President Mario Draghi damped speculation of negative deposit rates.

The USD dollar showed some strength this morning against CAD with the announcement that the US initial jobless claims fell by 21,000 to 323,000.  The drop helped popup the U.S. stocks. 

After comments from Bank of Canada Governor Stephen Poloz that said that interest rates will remain appropriate until the economy shows signs it’s gaining momentum, the Canadian dollar fell to a one-week-low versus most major counterparts.  Tomorrow, retail sales and inflation report (CPI) data will be released . 

The overnight expected range for the Canadian dollar against the USD dollar 1.0470-1.0530

The overnight expected range for the Canadian dollar against the Euro is 1.4110-1.4180

The overnight expected range for the Canadian dollar against Sterling  is  1.6950-1.7020

Have a great evening.

Barbara
Barbara Friedman  | GFX Partners Inc |Currency Advisor