Canadian Dollar FX Update December 10, 2015
USD/CAD Open: 1.3563-1.3564 Overnight Range: 1.3531-1.3576
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $36.78 and gold is at $1,073. US futures are higher. There are no major data releases scheduled for today.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3608. Support is at 1.3505.
The Canadian dollar has begun to consolidate around today’s level in the wake of last week’s data releases. This week has been a light week for data in Canada, so the Canadian dollar has tracked the broader market tone this week. The yield spread between Canadian and US 2Y treasuries continues to widen, highlighting the divergent monetary policy that will plague the Canadian dollar throughout the end of 2015, and into 2016. Oil remains low, with WTI hovering around $37/barrel. OPEC reported that crude production rose to a 3 year high in November, implying there will be little effort made by OPEC nations to implement any sort of supply management policies to prop up oil prices. This will continue to be a US dollar story leading in to 2016.
Today’s Suggested Range USD/CAD: 1.3500 – 1.3600
Sincerely,
Rahim Madhavji | Knightsbridge Foreign Exchange | Toll-Free: 1-877-355-5239
www.knightsbridgefx.com
Knightsbridge Foreign Exchange has based the opinions expressed herein on information generally available to the public. Knightsbridge Foreign Exchange makes no warranty concerning the accuracy of this information and specifically disclaims any liability for trading decisions based on the opinions expressed and information contained herein. Such information and opinions are for general information only and are not intended to present advice with respect to matters reviewed and commented upon.
By Admin | December 10, 2015 | Daily Update |
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