Today’s
expected range for the Canadian Dollar against the US Dollar is 1.1560-1.1620
Today’s
expected range for the Canadian Dollar against the Euro is 1.4400-1.4460
Today’s
expected range for the Canadian Dollar against Sterling is 1.8160-1.8240
The
US Dollar is marginally stronger this morning as it was led higher by Prime
Minister Abe’s coalition group winning control of parliament, we will see more
stimulus coming out of Japan in the coming weeks. The Euro is a bit lower this
morning on speculation that the ECB will start to buyback government bonds, further
stimulus in Europe should but a quick stop to any Euro strength quickly.
The
price of oil dropped again to a new low trading at $56.25 a barrel before
rebounding to $58.18 as North American opens. I saw over the weekend that the Saudi
Oil Minister was talking about the price trading outside what fundamentals
dictate but not even that verbal intervention could slow the decline. Not that
it matters but last night I noticed that gasoline in Oakville dropped below the
$1.00 threshold, that is the positive side to all of this. If I was in an
industry that depended on the price of gasoline I would definitely start a
hedging program to protect myself going out a few months.
The
Canadian Dollar was again weaker against the US and other currencies, there
looks like there is no stop to the decline, at least until the price of oil
stabilizes and we can get some positive news out of Canada.
Up
this week we have a big week for data, highlighted by the CPI reports for the
US on Wednesday and Canada on Friday. Lots of secondary data out of the US
today so look for volatility to remain the key word.
Have
a great week
Mike
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