GFX Morning Commentary

 

Good Morning,

 

Today’s suggested range for the Canadian dollar against the US dollar is 1.0920  – 1.0970

 Today’s suggested range for the Canadian dollar against the Euro is 1.5150 – 1.5250

 Today’s suggested range for the Canadian dollar against Sterling is 1.8275 – 1.8375

 

The major move overnight was the global sell off in the stock markets with the Nikkei sliding to six-month lows following yesterday’s triple digit loses on Wall Street. The FX market was pretty much sidelined with tight ranges for all the major currencies. The US dollar continues to trend weak despite the risk aversion going on in the markets. The USD is set for the biggest weekly drop in six months as the U.S. Fed has softened its outlook on interest rates.

 The Canadian dollar is opening the North American session from where we closed. Yesterday’s session for the Canadian dollar was corrective after sharp gains post the Fed minutes. While the US dollar sentiment remains bearish any further weakness in the CAD will be dictated by cross activity. The crosses have favoured Europe and Asia over CAD the past 24-48 hrs. The firmness in the crosses could force USD/CAD to test next major resistance at 1.0960.

 Dow futures are pointing to a lower opening ahead of U.S. construction output and PPI (inflation) at 8:30am followed by Michigan confidence at 9:55am. There is no Canadian economic data releases out today.

 

Have a great weekend!

 

GFX Morning Currency Rates
Friday April 11, 2014
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0927			1.0885
CAD/USD		0.9152			0.9187
EUR/USD		1.389			1.3868
EUR/CAD		1.5185			1.5099
STG/CAD		1.8316			1.828
AUD/CAD		1.0297			1.0269
CAD/JPY		92.85			93.28
CAD/CHF		0.8008			0.8059
CAD/HKD		7.0729			7.1013
CAD/CNY		5.6799			5.6995
CAD/MXN		11.93			11.9357
Commodities
Gold		$1,322.00			$1,321.00
OIL		$103.20			$103.40
US DOLLAR INDEX
P.CLOSE		79.41			79.52
OPEN		79.38			79.44
US 10YR YIELD		2.64%			2.65%