After yesterday?s blockbuster gains, the Canadian and New Zealand dollar consolidated amidst the lack of any meaningful economic data. Canada has consumer prices and leading indicators due for release tomorrow morning.
The strong CAD is expected to drive inflation down, but the overall strength of the economy could limit any major slide. The Australian dollar pushed higher despite the smaller growth in exports in the month of June. The country is also releasing leading indicators tonight, but the data is never market moving because it dates back to May. Overall, the commodity currencies are continuing on their trends, but the moves are becoming exhausted. The sustainability of the rallies will be dependent upon how dollar bullish Bernanke will be tomorrow.