GFX Morning Commentary

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0875-1.0925

Today's expected range for the Canadian Dollar against the Euro is 1.4900-1.4960

Today's expected range for the Canadian Dollar against Sterling is  1.8400-1.8460

The US Dollar is mixed this morning as it is weaker against the Japanese Yen and British Pound but stronger against the Euro. In Japan the Yen reached a three month high against the Greenback as the Bank of Japan did not announce any new stimulus measures at their latest meeting, in the UK the pound is stronger as the April Retail Sales report came in much better than expected prompting more expectation of interest rate hikes in the UK and finally the Euro continues to trade weaker on the expectation of added stimulus by the ECB at their next meeting.

The Canadian Dollar continues to lose a little ground to the U‎S dollar every night but it continues to trade within narrow ranges and so far there in no indication that volatility will increase any time soon, of course that can change in an instant but for now the USD.CAD pair looks relatively stable. The price of oil reached a one month high but had no effect on the Loonie, the currency seems to be ignoring the commodity markets at the moment. The Loonie does look set to make some gains against the Euro as the weakness in the Euro should push EURO.CAD lower any time you can get Euro below 1.5000 over the short-term is a good thing.

Nothing on the economic calendar so look for USD.CAD to test a little higher but I don’t think we will see a material jump. The rest of the week will have a busy economic calendar with Canadian Retail Sales and CPI due out along with a slew of US data.

Have a great day

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0905			1.0884
CAD/USD		0.917			0.9187
EUR/USD		1.3691			1.3687
EUR/CAD		1.4931			1.4909
STG/CAD		1.8427			1.8314
AUD/CAD		1.0065			1.0088
CAD/JPY		92.57			93.05
CAD/CHF		0.8181			0.8191
CAD/HKD		7.1051			7.1165
CAD/CNY		5.7138			5.7277
CAD/MXN		11.8578			11.894
Commodities
Gold		$1,291.00			$1,293.00
OIL		$103.15			$102.72
US DOLLAR INDEX
P.CLOSE		80.04			80.12
OPEN		79.96			80.04
US 10YR YIELD		2.52%			2.53%