GFX Morning FX Commentary

Good Morning,

Today's expected range for the Canadian Dollar against the US Dollar is 1.0650-1.0700

Today's expected range for the Canadian Dollar against the Euro is 1.4500-1.4550

Today's expected range for the Canadian Dollar against Sterling is 1.9270-1.8320   

The US Dollar is marginally stronger this morning led higher by a weaker Sterling. In the UK a gauge of manufacturing activity unexpectedly fell the most it has in over a year and a half, this is the poorest number the UK has produced in a long-time. With the growing expectation that the strength in Sterling was overdone and now a poor manufacturing report we may see the Pound pull back some more in the coming days.

In other currency news the New Zealand Dollar gained quite a bit last night as the bond rating agency Fitch raised their credit rating citing on improving fiscal situation and a supportive economy, perhaps there is a lesson here to be learned for the Ontario Liberals.

The Canadian Dollar gave back some strength yesterday afternoon and last night but does continue to trade in narrow ranges, the "summer doldrums" may‎ continue for some time yet but ultimately the market will get active again. The Loonie continues to hold onto its recent strength against the Euro and Sterling but has not been able to extend those gains over the past few weeks.

With no economic news of note today I look for another tight range trading day with USD.CAD still setting up for a test of 1.0700 at some point.

Have a great day

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.0682			1.0643
CAD/USD		0.9361			0.9396
EUR/USD		1.354			1.3573
EUR/CAD		1.452			1.4471
STG/CAD		1.8285			1.8224
AUD/CAD		1.0037			0.9968
CAD/JPY		95.19			95.73
CAD/CHF		0.8368			0.8397
CAD/HKD		7.233			7.2583
CAD/CNY		5.8027			5.8249
CAD/MXN		12.1842			13.005
Commodities
Gold		$1,320.00			$1,315.00
OIL		$103.33			$103.82
US DOLLAR INDEX
P.CLOSE		80.22			80.31
OPEN		80.29			80.29
US 10YR YIELD		2.59%			2.64%