GFX Morning FX Commentary Nov 8th,2013

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0425-1.0525

Today's expected range for the Canadian Dollar against the Euro is 1.4000-1.4100

Today's expected range for the Canadian Dollar against Sterling is 1.6780-1.6880

‎The US Dollar is marginally stronger this morning as the currency markets get set up for the release of the US Employment report. Overnight the Euro fell a little as Frances sovereign debt was downgraded but it recovered throughout the morning as I think most investors are not paying much attention to what the agencies say, the rating agency cited the fact that current French Government policies will not correct the current economic situation which comes as no surprise that a socialist government can’t get spending under control.

For today's release of US employment we are expecting 125K new jobs to have been created and the unemployment rate to rise to 7.3%. Given that economist predictions have been way off on this number we are expecting some enhanced volatility surrounding the release as they most likely get the number wrong.

USD.CAD is slightly higher this morning in quiet trading, up today we also get the Canadian Employment Report and for this number we are expecting 14K new jobs to have been created and a slight rise in the unemployment rate to 7.0% from 6.9%. The Canadian economists have not even come close to getting this number correct in the last 6 months so I am thinking that we will get a big surprise and we will have lots of movement this morning. If the number is strong then USD.CAD will drop below 1.0400 and if the number is weak we will end up above 1.0500 starting a push towards 1.0600.

Have a great weekend and a reminder that while we will be open on Monday banks and the international wire system will be closed so make sure you make all payments today.

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0458			1.0408
CAD/USD		0.9562			0.9607
EUR/USD		1.3424			1.3513
EUR/CAD		1.404			1.4066
STG/CAD		1.6816			1.6738
AUD/CAD		0.9884			0.9877
CAD/JPY		93.84			94.78
CAD/CHF		0.8754			0.8762
CAD/HKD		7.4067			7.441
CAD/CNY		5.8207			5.8504
CAD/MXN		12.6432			12.662
Commodities
Gold		$1,308.00			$1,314.00
OIL		$94.00			$95.10
US DOLLAR INDEX
P.CLOSE		80.91			80.57
OPEN		80.94			80.61
US 10YR YIELD		2.61%			2.64%