GFX Morning FX Commentary Nov 13th, 2013

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0460-1.0520

Today's expected range for the Canadian Dollar against the Euro is 1.4050-1.4120

Today's expected range for the Canadian Dollar against Sterling is 1.6720-1.6780

The US Dollar is mixed this morning as Sterling once again proved to be the strongest currency overnight. The Pound rose for the first time in four days on the statement that the Bank of England target rate of 7% unemployment will be reached in the 3rd quarter of 2015 up from the previous prediction of the first quarter of 2016, I find it kind of humorous that they are predicting something almost 2 years out when they cannot even predict with any certainty what unemployment will be in a month’s time. GBP.USD was able to extend its gains to trade up at 1.6000 again overnight, It has since pulled back a little

The Euro was lower this morning on poorer than expected Industrial production numbers, highlighting the divergence in the Euro-Zone and British economies. EURO.USD traded down to 1.3415 and with the economic situation emerging it looks like the Euro will trade with a weak bias for a while yet.

The Canadian Dollar is unchanged against the US Dollar this morning, it is stronger against the Euro and weaker against Sterling. USD.CAD continues to hold below 1.0500 as the Loonie was not able to extend any gains from yesterday afternoon’s economic update from Finance Minister Jim Flaherty saying he is on path to eliminating the yearly defect by 2015/2016.

Another quiet day on the economic front so I am not expecting any great movement today, I still favour another test of 1.0500 at some point, if it breaks hard we might see some fireworks

Have a great day

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0488			1.05
CAD/USD		0.9535			0.9524
EUR/USD		1.3419			1.3384
EUR/CAD		1.4076			1.4064
STG/CAD		1.6739			1.6674
AUD/CAD		0.9758			0.9782
CAD/JPY		94.84			94.91
CAD/CHF		0.8749			0.8963
CAD/HKD		2.3861			7.3768
CAD/CNY		6.0915			5.7268
CAD/MXN		12.5741			12.6404
Commodities
Gold		$1,274.00			$1,279.00
OIL		$93.17			$94.76
US DOLLAR INDEX
P.CLOSE		81.22			81.15
OPEN		81.24			81.45
US 10YR YIELD		2.76%			2.78%