GFX Afternoon Commentary

Good afternoon,

Below are the current daily levels vs. the other major currencies.

USD.CAD 1.0462 down  0.02%

GBP.CAD 1.6846 up 0.20%

EUR.CAD 1.4106 up 0.15%

The GBP rose to a two-week high against the USD, after Bank of England policy maker Martin Weale said the U.K. economy may recover faster than what was previously predicted.  With the report of the Bank of England’s minutes of its November meeting next  Wednesday, interest rates may increase sooner that what was previously forecasted.

After a disappointing report that showed the Canadian housing market cooled and data from the U.S., showed industrial production unexpectedly dropped ,the Canadian dollar traded lower aersus most major currency peers this morning but as we expected activity was muted and markets were quiet. We are not expecting any movement for the rest of the afternoon. 

Looking towards next week, we may see some volatility with USD.CAD with the release of  U.S. Retails Sales numbers on Wednesday   and Canada CPI and Retail Sales numbers announced on Friday. US Dollar buyers should leave their orders ahead of the 1.0450 level as that seems to be forming a new bottom for USD.CAD and US Dollar sellers should look ot 1.0500 as a level to leave your orders, we are just not getting any follow through at the moment.

The overnight expected range for the Canadian dollar against the USD dollar 1.0440-1.0513

The overnight expected range for the Canadian dollar against the Euro is 1.4060-1.4140

The overnight expected range for the Canadian dollar against Sterling  is  1.6820-1.6890

Have a great weekend.

Barbara
Barbara Friedman  | GFX Partners Inc |Currency Advisor