GFX Morning Commentary

Good Morning,

Today’s expected range for the Canadian Dollar against the US Dollar is 1.1040-1.1100

Today’s expected range for the Canadian Dollar against the Euro is 1.4200-1.4250

Today’s expected range for the Canadian Dollar against Sterling is 1.8160-1.8210

The US Dollar is mixed this morning in narrow overnight ranges, it is stronger against the Euro and Yen and unchanged against the GBP.  In Germany the IFO reading on the economy showed  a larger than expected decline so we continue to see worrying data coming out of Europe, with the inter-bank EURO.USD rate continuing to drop it may not be long before we see the Goldman Sachs earlier prediction of a 1.2500 rate come to pass.

The rise in USD.CAD has stalled out ahead of the 1.1100 rate for the moment, the rate has been unchanged for the past 24 hours in some very lackluster trading. I still think we are in for a good test of the 1.1100 rate but it may take a day or two to actually break through, US Dollar buyers need to be ready with their orders in case we have a bit of a drop before testing the higher levels.

Not much out today with just US New Homes Sales reporting, look for USD.CAD to stay in a tight range with a possible pullback towards 1.1050 before moving higher.

Have a great day

Mike

GFX Morning Currency Rates
Currencies	7:00am Today's Opening				Yesterday's Opening
USD/CAD		1.107			1.0996
CAD/USD		0.9033			0.9094
EUR/USD		1.2844			1.2882
EUR/CAD		1.4221			1.4167
STG/CAD		1.8166			1.8021
AUD/CAD		0.9831			0.98
CAD/JPY		98.07			98.57
CAD/CHF		0.8488			0.8521
CAD/HKD		6.9807			7.0274
CAD/CNY		5.5398			5.5798
CAD/MXN		11.995			12.0542
Commodities
Gold		$1,223.00			$1,233.00
OIL		$91.40			$91.32
US DOLLAR INDEX
P.CLOSE		84.65			84.7
OPEN		84.67			84.43
US 10YR YIELD		2.54%			2.55%