GFX Morning FX Commentary April 26th, 2013

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0160-1.0240

Today's expected range for the Canadian Dollar against the Euro is 1.3240-1.3320

Today's expected range for the Canadian Dollar against Sterling is 1.5755-1.5830

The US Dollar is marginally weaker this morning in overnight trading that was once again dominated by the Japanese Yen. In Tokyo the Bank of Japan did not indicate the need for any further stimulus programs so USD.JPY dropped lower in volatile conditions. In Europe, the Euro traded in a narrow range with the EURO.USD rising back to trade at 1.3040 and GBP.USD traded to a high of 1.5469, since I have been in the office both currencies have given back some of the gains

The Canadian Dollar continues to slowly recover as USD.CAD set a new weekly low, this is the 2nd consecutive night that the Loonie has been able to trade stronger against the USD, we will watch to see if it can extend the gains or is this just a temporary pullback. Up today, USD.CAD trading will be dominated by the US 1st Quarter GDP report where we are expecting a year over year growth rate of 3.1% for the US economy, if the number is softer than expected USD.CAD can fall below 1.0175 very quickly, if it shows stronger than expected growth we could easily see USD.CAD back up at 1.0250, either way we could see some enhanced volatility around the release.

Have a great weekend

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0195			1.0228
CAD/USD		0.9809			0.9777
EUR/USD		1.3001			1.3066
EUR/CAD		1.3257			1.3367
STG/CAD		1.5762			1.5789
AUD/CAD		1.0482			1.0556
CAD/JPY		96.82			96.81
CAD/CHF		0.9256			0.922
CAD/HKD		7.5937			7.5688
CAD/CNY		6.0442			6.03
CAD/MXN		11.9363			11.8847
Commodities
Gold		$1,467.00			$1,448.00
OIL		$93.00			$91.84
US DOLLAR INDEX
P.CLOSE		82.9			83.06
OPEN		82.78			82.61