GFX Morning FX Commentary April 23rd, 2013

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0230-1.0320

Today's expected range for the Canadian Dollar against the Euro is 1.3330-1.3400

Today's expected range for the Canadian Dollar against Sterling is 1.5650-1.5730

The US Dollar is stronger this morning as poor Euro-Zone manufacturing data has driven the Euro to a two-month low against the US Dollar, EURO.USD fell to trade below 1.3000 for the first time in a couple of months. This poor report is putting additional pressure on the ECB to cut interest at their next meeting, it is starting to look like the EU economy is in free fall and none of the countries in the union will have any money to spend their way out of the next recession.

Another narrow trading range for USD.CAD but the interbank rate is slowly pushing itself back towards 1.0300 as market fears slowly push the US Dollar higher. Up today we do get the release of the Canadian Retail Sales report for February, we are expecting a  month over month increase of 0.3% after a last month the increase was 1.0%, we also get some secondary data so we could get some enhanced volatility this morning around these releases. If the Canadian report shows a further declining economy than that may give USD.CAD the push to go above 1.0300, if it comes in as expected then we should have another quiet trading day.

Have a great day

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0277			1.0255
CAD/USD		0.973			0.9751
EUR/USD		1.2984			1.304
EUR/CAD		1.3347			1.3376
STG/CAD		1.5648			1.563
AUD/CAD		1.0249			1.054
CAD/JPY		95.84			97.22
CAD/CHF		0.9148			0.9107
CAD/HKD		7.5325			7.5488
CAD/CNY		6.0095			6.0281
CAD/MXN		11.9851			6.1818
Commodities
Gold		$1,413.00			$1,432.00
OIL		$88.45			$88.61
US DOLLAR INDEX
P.CLOSE		82.78			82.89
OPEN		83.1			82.92