Today's
expected range for the Canadian Dollar against the US Dollar is .9810-.9900
Today's
expected range for the Canadian Dollar against the Euro is 1.2375-1.2475
Today's
expected range for the Canadian Dollar against Sterling is 1.5610-1.5700
The
US Dollar is stronger this morning from where we left it on Friday. In Europe
the Euro is well off its overnight high's as Moody's putting the EU credit
rating on a negative ratings watch outweighed the report that the ECB is
considering buying three year sovereign bonds from countries that need the financing.
Most investors now firmly believe that the ECB will start a bond buying program
at some point but to my mind that only delays the inevitable. Later this month
the German High court will rule on the legality of Germany's participation in
the EU rescue fund, a negative ruling will cause great uncertainty and the Euro
should get hammered, it should be a very interesting month for Euro watchers.
The
Canadian Dollar continues to hold onto last week's gains against the US Dollar,
yesterday the Loonie did manage to get a little stronger and now the Loonie
will look to see if it has the momentum to move towards the .9800 level.
A
new month brings a new set of economic numbers to the forefront and up today we
have the US ISM manufacturing data, each of these important numbers this month will
take on some added significance as we get closer to the US Presidential
election. Any negative numbers will see equity markets get hit and the US
Dollar jump. I believe that we will now see currency markets become more volatile
as we move towards the end of the year and interest in the US election starts
to heat up. Later this week we get the ECB announcement on interest rates, the
Bank of Canada interest rate announcement tomorrow and then both Canadian and US
employment reports on Friday, it should be a very busy start to the month.
A
quick note on the Quebec election, recent polls point to a PQ election victory
which in itself will not have a dramatic effect on the Loonie tomorrow. If
Marois gets a majority there most certainly will be a vote on separation and at
that point international currency markets will start to focus on the Canadian
Dollar, if she only gets a minority then I would say a referendum is not going
to happen.
For
today watch the ISM number and the equity markets, a negative number could push
USD.CAD back towards .9900
Have
a great month
MikeMichael J Smith | President GFX - Partners Inc.
229 Yonge Street, Suite 502 | Toronto, ON M5B 1N9
Trading Room: 416.217.3088 | Direct Line: 416.217.3095| Toll Free: 1.877.717.3088 | Fax: 416.217.3089
E:| msmith@gfxpartners.ca | W: www.gfxpartners.ca
GFX
Morning Currency Rates
|
|||||||
Tuesday September
04, 2012
|
|||||||
| Currencies | 7:00am Today's Opening | Yesterday's Opening | |||||
| USD/CAD | 0.985 | 0.991 | |||||
| CAD/USD | 1.0152 | 1.009 | |||||
| EUR/USD | 1.2593 | 1.2577 | |||||
| EUR/CAD | 1.2406 | 1.2466 | |||||
| STG/CAD | 1.564 | 1.567 | |||||
| AUD/CAD | 1.0089 | 1.0237 | |||||
| CAD/JPY | 79.58 | 79.28 | |||||
| CAD/CHF | 0.9675 | 0.9631 | |||||
| CAD/HKD | 7.852 | 7.8063 | |||||
| CAD/CNY | 6.4419 | 6.407 | |||||
| CAD/MXN | 13.3966 | 13.4628 | |||||
| Commodities | |||||||
| Gold | $1,694 | $1,661 | |||||
| OIL | $97.10 | $95.20 | |||||
| Option Volatility | |||||||
| Canada | |||||||
| O/N | 7.25% | 4.50% | |||||
| 1 Week | 6.75% | 6.20% | |||||
| 1 Month | 6.50% | 6.45% | |||||
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