From the Desk of GFX

Good Morning,

Today’s expected range for the Canadian Dollar against the US Dollar is 1.2475-1.2550

Today’s expected range for the Canadian Dollar against the Euro is 1.4040-1.4130

Today’s expected range for the Canadian Dollar against Sterling is 1.9240-1.9310

The US Dollar is for the most part unchanged to start the new trading month, EURO.USD has pushed higher and is trading near the 1.1250 level this morning as it recovered from the drop off on Friday, Euro zone inflation showed that prices did not fall as much as markets were expecting and EU Employment showed a small boost. The Greenback  was a getting a bit of a jump Friday afternoon from the strong US GDP and Consumer Confidence reports but it looks like that bump has run its course and now the Dollar is settling in for the new month’s economic activity.

The Canadian Dollar continues to range trade and USD.CAD opens the new month right were we left it on Friday, it is going to take a major event to shake the currency pair from its recent ranges, I still favour a move higher for USD.CAD as the month goes on but it may take a while before we see a significant move for the Loonie. The Canadian Dollar did lose a little ground to both the Euro and Sterling overnight as both of those currencies traded a little stronger overnight, recent trading activity would suggest anytime you see EURO.CAD below 1.4000 try and grab some, it seems the rate does not stay below 1.4000 for very long.

With the start of a new month we have a lot of economic activity to look forward to, this week is highlighted by lots of Central Bank activity, we have the Bank of Canada on Wednesday followed by the ECB and Bank of England on Thursday. In addition we have Canadian GDP on Tuesday and US employment on Friday so we are going to have a very busy week.

Up today we have some secondary US data to start the month, positive reports today once again building on Friday’s strong GDP report should give the US Dollar a boost, US Dollar buyers should be ready to continue to buy on any US Dollar dips.

Have a great week

Mike

 

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening			4pm close Friday
USD/CAD		1.25			1.2474			1.25
CAD/USD		0.8			0.8016			0.8
EUR/USD		1.1228			1.1223			1.1187
EUR/CAD		1.4041			1.4004			1.3987
STG/CAD		1.9265			1.9244			1.9294
AUD/CAD		0.9736			0.9765			0.9765
CAD/JPY		95.75			95.59			95.71
CAD/CHF		0.7644			0.7609			0.7623
CAD/HKD		6.1781			6.1932			6.181
CAD/CNY		5.0163			5.0235			5.0235
CAD/MXN		12.0059			12.06			11.9655
Commodities
Gold		$1,214			$1,207			$1,212
OIL		$48.89			$48.97			$49.21
US DOLLAR INDEX
OPEN		95.18			95.1			95.33
US 10YR YIELD		2.00%			2.04%			1.99%