Today's
expected range for the Canadian Dollar against the US Dollar is 1.0075-1.0175
Today's
expected range for the Canadian Dollar against the Euro is 1.2650-1.2775
Today's
expected range for the Canadian Dollar against Sterling is 1.5750-1.5875
The
US Dollar is marginally stronger this morning in very quiet overnight markets.
EURO.USD is slightly lower from our close yesterday as the markets get ready
for the interest rate announcements from both the European Central Bank and the
Bank of England. The expectation is that the ECB will cut interest rates by
0.25% to 0.75% and the BOE is expected to add 50 BLN to their quantative easing
program to add more liquidity to the banking system and encourage more bank
lending. My expectation would be that equity markets will like both of these
moves and we should see the Euro and Pound rally. I would still favour to sell
the Euro on any strength as the fundamental root of the problem still remains.
As I
write this morning the Bank of England has announced that they have kept their
interest rate at current level of 0.5% but they have increased their quantative
easing by 50 billion Pounds as expected. In an unexpected move the Peoples Bank
of China announced that they are cutting their one year lending rates by 0.31 percentage
points, clearly signs that the global economy is in trouble. As expected equity
markets jumped higher and Sterling and Euro rallied a little. The ECB is up
later this morning.
The
Canadian dollar continues to hold onto its strength against the USD in tight
overnight ranges, the Loonie is doing very well against the Euro and Sterling
and in fact is at its strongest point this year against the Euro. While Euro
weakness will most likely continue to push EURO.CAD lower but having said that it
may be the time to take some money off the table and buy some forward contracts
for anyone who will need to purchase Euro in the next little while.
Have
a great day
Mike
GFX
Morning Currency Rates
|
|||||||
Thursday July 5th,
2012
|
|||||||
Currencies | 7:00am Today's Opening | Yesterday's Opening | |||||
USD/CAD | 1.0132 | 1.0128 | |||||
CAD/USD | 0.9874 | ||||||
EUR/USD | 1.2506 | 1.2566 | |||||
EUR/CAD | 1.2624 | 1.2729 | |||||
STG/CAD | 1.5761 | 1.5847 | |||||
AUD/CAD | 1.0416 | 1.0407 | |||||
CAD/JPY | 78.56 | 78.79 | |||||
CAD/CHF | 0.9474 | 0.9432 | |||||
CAD/HKD | 7.6476 | 7.6486 | |||||
CAD/CNY | 6.356 | 6.348 | |||||
CAD/MXN | 13.16 | 13.177 | |||||
Commodities | |||||||
Gold | $1,618.93 | $1,617 | |||||
OIL | $88.13 | $87.07 | |||||
Option Volatility | |||||||
Canada | |||||||
O/N | 14.05% | 11.53% | |||||
1 Week | 9.19% | 9.04% | |||||
1 Month | 8.72% | 8.86% |
Today's Economic Calendar
USA
ADP Employment Report for June(08:15)
ISM Manufacturing for June (10:00)
CANADA
None
No comments:
Post a Comment