GFX Morning Commentary, Dec 2nd, 2013

Good Morning,

Today’s suggested range for the Canadian dollar against the US Dollar is 1.0600 – 1.0650

Today’s suggested range for the Canadian   dollar against the Euro is 1.4370 – 1.4440

Today’s suggested range for the Canadian dollar against Sterling is 1.7380 – 1.7450


The Japanese Yen was under considerable pressure overnight and is closing in on USD/JPY 103.00 level after the release on the weekend showing the official China Purchasing Manufacturing Index  for November at 51.4 unchanged from the October’s 18 month high. Flows are moving out of the Yen as global economic growth is picking up and the need for safe haven is dwindling.


The British Pound soared overnight following much stronger than expected U.K. Manufacturing PMI rising to 58.4 for November much higher than the expectations of 56.0 and stronger from the previous months revised 56.50 level. The British Pound continues to outperform most of the major currencies as the U.K. looks like the most likely country to be the first to raise interest rates when the time comes. In the Euro zone the Manufacturing PMI for November rose 51.6 edging slightly higher from estimates of 51.5  but  the details still show that Germany is carrying the bulk of growth.

The Canadian dollar weakened further overnight testing 2 yr. lows against its U.S. counterpart in the European session where cross activity undermined the currency. To start the North American session the Canadian dollar has recovered some of its losses and when you compare it to the Aussie and Kiwi from overnight which both outperformed the greenback the Loonie is starting to look a little over sold. The main focus for the Canadian dollar this week is the Bank of Canada interest rate decision on Wednesday December 04 and after posting impressive GDP numbers last week in Canada the market will be closely watching the statement to see if they are less dovish from the previous statement which withdrew the tightening bias. Today we have U.S. ISM manufacturing at 10:00am with no Canadian economic releases. Dow futures are pointing lower by  10 with gold off on a stronger greenback and oil slightly higher.
For today's FX opening FX rates and other FX resources please vist our Blog.

Have a great day!

Rich

GFX Morning Currency Rates      
Monday December 02, 2013      
Currencies         7:00am Today's Opening     Yesterday's Opening 
      
USD/CAD                     1.0632                           1.0589 
CAD/USD                     0.9405                           0.9444 
EUR/USD                     1.3539                            1.3607 
EUR/CAD                     1.4396                           1.4411 
STG/CAD                     1.7415                            1.7304 
AUD/CAD                     0.9723                           0.9631 
CAD/JPY                     96.04                              96.6 
CAD/CHF                      0.8555                           0.8534 
CAD/HKD                    7.2866                            7.3135 
CAD/CNY                    5.731                              5.7507 
CAD/MXN  12.3815   12.3648 
Commodities      
      
Gold                         $1,238.00                           $1,247.00  
OIL  $92.92    $92.51  
      
US DOLLAR INDEX      
P.CLOSE                   80.68                                 80.63 
OPEN                        80.91                                 80.56 
      
US 10YR YIELD       2.48%                                2.76%