Canadian Dollar FX Update November 6, 2015
FX Morning Update November 6, 2015
USD/CAD Open: 1.3280-1.3281 Overnight Range: 1.3156-1.3290
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $44.74 and gold is at $1,087. US futures are lower. Today, both Canada and the United States release employment figures for the month of October.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3328. Support is at 1.3260.
The Canadian dollar fell sharply this morning as non-farm payrolls for the United States were much better than expected, with the U.S. creating 271,000 jobs in October against expectations of 185,000. Accompanying the increases was a decrease in the unemployment rate to 5%. Canadian jobs data was very strong as well, with 44,000 jobs added in October against expectations of 10,000.
The positive jobs data out of the United States makes a rate hike in 2015 remain a possibility. Inflation will now be heavily anticipated, as strong inflation figures will almost certainly necessitate a rate hike. As evidenced today with the overshadowing of a positive Canadian jobs report, this will continue to be a U.S. dollar story
Today’s Suggested Range USD/CAD: 1.3250 – 1.3350
Sincerely,
Rahim Madhavji | Knightsbridge Foreign Exchange | Toll-Free: 1-877-355-5239
www.knightsbridgefx.com
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By Admin | November 6, 2015 | Daily Update |
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