GFX Morning FX Commentary April 22nd, 2013

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0210-1.0275

Today's expected range for the Canadian Dollar against the Euro is 1.3360-1.3450

Today's expected range for the Canadian Dollar against Sterling is 1.5600-1.5675

The US Dollar is marginally weaker this morning with the Japanese Yen being the exception where the Dollar is stronger. To say that the Japanese Central Bank has a big smile on its face this morning might be the understatement of the year, the meeting of G20 Central Bankers and Finance Ministers all but gave him a slap on the back as they expressed no opposition to his stimulus plan which is weakening the Yen, look for USD.JPY to continue to weaken and pass the 100 level this week. In response to this development other Asian countries and now talking about weakening their currencies so their exports can compete with Japan, Korea and Thailand are two countries that are starting to talk their currency lower.

In Europe the currency markets were fairly quiet, In Italy there were protests in the street over the economy as parliament continue to have difficulty forming a government and in England Sterling remains stable  as bond rating Fitch downgraded UK sovereign debt from its AAA status, this was pretty much expected so Sterling is remaining stable.

The Canadian Dollar is unchanged from our Friday close in very quiet overnight markets, the Loonie was a little stronger at some points overnight but nothing material. I am not holding out much hope for a big range this week, the only big economic releases due out are Canadian Retail Sales on Tuesday and US GDP on Friday. Given that the commodity markets have recovered somewhat (Gold was up $35 an ounce last night) from their bashing last week we could see the Loonie gradually get stronger with USD.CAD moving back towards 1.0200 but in reality I would not expect much movement this week.

Have a great week

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0255			1.0241
CAD/USD		0.9751			0.9765
EUR/USD		1.304			1.3084
EUR/CAD		1.3376			1.3403
STG/CAD		1.563			1.5717
AUD/CAD		1.054			1.0594
CAD/JPY		97.22			96.8
CAD/CHF		0.9107			0.9076
CAD/HKD		7.5488			7.5585
CAD/CNY		6.0281			6.0294
CAD/MXN		6.1818			11.933
Commodities
Gold		$1,432.00			$1,412.00
OIL		$88.61			$88.68
US DOLLAR INDEX
P.CLOSE		82.89			82.64
OPEN		82.92			82.58