Canadian Dollar FX Update October 21, 2016
USD/CAD Open: 1.3332-1.3333 Overnight Range: 1.3224-1.3348
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $50.31 and gold is at $1,268. US futures are lower. Canada released CPI and retail sales data this morning.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3290. Support is at 1.3144.
The Canadian dollar is sharply lower this morning, following poor domestic data releases. CPI data for September missed expectations (+0.1% month-over-month actual vs. +0.2% expected), as Canadian inflation continues to lag expectations. Retail sales for August were similarly disappointing, (-0.1% actual vs. +0.3% expected). Poor economic data coupled with Wednesday’s dovish Bank of Canada tone have resulted in CAD’s decline. Contrasting monetary policy between Canada and the US appears poised to continue to hamstring CAD towards the end of the year.
Today’s Suggested Range USD/CAD: 1.3200 – 1.3300
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.
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By Admin | October 21, 2016 | Daily Update |
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