FX Morning Update November 10, 2011
USD/CAD Open: 1.0207-10 Overnight Range: 1.0207-1.0266
The Canadian dollar was volatile overnight. Overnight, the Italian bill auction generally went well. Oil is at $97.06 and gold is at $1,769. NY futures are pointing higher today. Today, weekly jobs claims and trade data are released today.
The short term Canadian dollar technicals remain negative. Lately, the USD/CAD has been trading between 0.9900 and 1.0270, consolidating in between, looking for direction. For today, USD resistance is at 1.0213 and 1.0260. Support is at 1.0131, 1.0031, and 0.9980.
Italian bond yields are a bit lower but still quite high. Greece continues to try to find someone to be prime minister. Oil prices remain strong, a supporting point for the loonie, but risk sentiment dominates. Traders remain cautious as eurozone worries continue to linger. Growth in the eurozone could become very weak while fiscal problems linger putting more stress on policymakers. Risk appetite seems to be back in favor today with equities higher and this should bode well for the loonie as the loonie has been highly correlated to movement in equities, of course, eurozone headlines continue to move markets.
Today’s Range: 1.0150 – 1.0280
Daily Market | Knightsbridge Foreign Exchange
By Admin | November 11, 2011 | Daily Update |
0 comments