GFX Morning FX Commentary

Good Morning,

 

Today’s suggested range for the Canadian against the US is 1.1225 – 1.1295

Today’s suggested range for the Canadian dollar against the Euro is 1.4340 – 1.4440

 Today’s suggested range for the Canadian dollar against Sterling is 1.8100- 1.8200

 

The mood of the market remains cautious despite a rally in the stock market for two consecutive days. The Japanese Yen weakened for a third day as a media report claims Japan’s pension funds are closer to being able to increase their holdings of foreign stocks and bonds.

The British Pound rallied to a one week high against the greenback following a report that showed U.K. home prices gained for a second month in October helping to push consumer confidence higher. The Euro remains vulnerable albeit holding  to narrow ranges overnight as the market braces for renewed concerns over debt and the periphery countries like Greece being the main culprit. The EU leaders are meeting for a two day summit beginning Thursday to try and calm investor anxiety.

The Canadian dollar has edged slightly higher form our close on Friday along with the other commodity based currencies. The price of oil is steady while gold has edged higher. The main focus for the CAD this week is the Bank of Canada interest rate announcement on Wednesday. The BOC will not move on interest rates and will more than likely keep the same neutral language.

 Today the economic calendar is empty in the U.S. with the only economic release being CAD wholesale trade for August which is of minor importance. The Dow futures are pointing for a drop of 98 at the opening which could weigh on risk sentiment, ultimately putting pressure back on the CAD.

 

Have a great day!

 

GFX Morning Currency Rates
Monday October 20, 2014
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.1258			1.1232
CAD/USD		0.8883			0.8903
EUR/USD		1.2771			1.2811
EUR/CAD		1.4381			1.4394
STG/CAD		1.8156			1.8085
AUD/CAD		0.9864			98.68
CAD/JPY		95.01			94.8
CAD/CHF		0.8384			0.8386
CAD/HKD		6.8676			6.88
CAD/CNY		5.4354			5.4495
CAD/MXN		12.0347			12.0364
Commodities
Gold		$1,242.00			$1,237.00
OIL		$82.79			$84.87
US DOLLAR INDEX
P.CLOSE		85.19			84.95
OPEN		85.13			84.87
US 10YR YIELD		2.21%			2.19%