Surprise, surprise! BOC Governor Carney’s less-hawkish-than-usual comments during the central bank’s monetary policy statement triggered an upside breakout for USD/CAD, pushing the pair to the 1.0000 area. What exactly did Carney say?
Since the BOC has been one of the very few remaining hawkish central banks in the world, many were surprised to hear BOC head Carney talk about the downside risks to growth during the central bank’s rate decision. Recall that Carney has been hinting at a potential rate hike for quite some time now but he mentioned that tighter monetary policy is less imminent this time around. Apparently, BOC officials also downgraded growth forecasts from 2.3% to 2.0% this year as they also noted that strong jobs growth won’t be enough to keep economic growth booming. No wonder the Loonie sold off!
There are no economic reports due from Canada today, which means that the Loonie could keep reeling from the downbeat BOC statement unless we see a significant improvement in risk appetite. Anything can happen so y’all better stay on your toes!
The Loonie bears won another round of tug-o-pip against the bulls yesterday as they pushed USD/CAD firmly above parity. The pair reached a low at .9988 before it closed at 1.0031.
Since no reports were released from Canada, the positive Chinese HSBC PMI data and the rise in oil prices should’ve provided the comdoll a bit of support. Instead, we saw the Loonie weaken further against most of its counterparts. I don’t know about you, but I think that the Loonie traders are still miffed about the BOC’s recent curveballs!
Today Canada is set to release its CPI numbers at 2:30 pm GMT. The headline and core figures are both expected to come in weaker than their previous readings, which would support the BOC’s recent decision to delay any interest rate hikes. An upside surprise could be around the corner though, so stick around and observe price action if you’re not interested in trading the news!
Boo! Traders still didn’t go looney for the Loonie. USD/CAD continued to trade higher on Friday. The pair opened at 1.0031 and traded all the way up to 1.0080 to finish the week.
Of course, the worse-than-expected inflation data from Canada didn’t help the comdoll. Both the headline and core CPI figures for December printed at -0.6% and disappointed forecasts at -0.2%. The CPI report only affirms the BOC’s dovish stance and gave the bears one more reason to attack the Loonie.
Later today, at 9:00 am GMT, BOC Governor Mark Carney is set to give a speech. Be sure you keep an ear out for what he has to say. Who knows, he might drop some hints on the bank’s future monetary policy decisions!
USD/CAD formed a perfect gravestone doji on the daily chart to start the week, trading as high as 1.0101 before retreating to 1.0064, just 2 pips above its week open. Does this mean that it’s time for the Loonie to take control of the market?
Yesterday’s results were quite surprising when you really think about it. You would expect the Loonie to extend its losses after it was announced that Moody’s has decided to downgrade the debt ratings of six of Canada’s largest banks. But apparently, traders didn’t mind, and it seems we have BOC Governor Mark Carney to thank for that!
In his speech last night, Carney said that financial markets have improved though he cautioned that the global economy still faces risks. This helped stoke a Loonie rally late in the New York session and forced USD/CAD to slip back down to its opening price.
No Canadian reports on the calendar today, but y’all know the drill! Keep your eyes locked on risk sentiment, oil prices, and the U.S. for potential USD/CAD catalysts!
Churn em’ and burn em’, baby! Just like its comdoll siblings, the Canadian dollar torched the Greenback in yesterday’s trading session. USD/CAD dropped 41 pips to finish the day at 1.0023. Is parity next?
No data was released from Canada, but that didn’t stop traders from shorting USD/CAD! Thanks to overall dollar weakness, CAD bulls were able to run roughshed on the scrilla. Make sure you drop on by my U.S. recap to find out what happened!
Nothing lined up once again today, but take note that we’ve got the U.S. FOMC statement on tap, so we may see a ton of consolidation ahead of the event. Be ready and keep those stop loss orders in check!
Thursday turned out to be a very choppy day for USD/CAD. USD/CAD started out the day trading in a horizontal channel, but once the U.S. trading session rolled along, the pair suddenly blew up. The pair opened the day at 1.0022, rose to 1.0050, fell to 1.0009, and then climb back up to close at 1.0017.
No major data was released in Canada yesterday, but today, make sure you keep a close eye on USD/CAD’s price action. At 1:30 pm GMT, Canada’s monthly GDP report will be released.
The upcoming report is expected to show that Canada grew 0.2% in November. In the month prior, growth was at 0.1%. A better-than-expected figure is normally considered bullish for the domestic currency.
Make that three in a row for the Loonie! Thanks to strong GDP figures, the Canadian dollar found itself trading back below the 1.000 mark versus the dollar. Will the recent trend continue or are we about to see a Friday comeback?
Monthly Canadian GDP figurescame in at 0.3% yesterday, after it was projected to have risen by just 0.2%. This gave the Canadian dollar bulls enough of a buzz to keep rumbling through the markets.
No data lined up today, but make sure you hit up my U.S. commentary as we’ve got some potential market movers from Uncle Sam today. Good luck trading homies!
Way to rock it, Loonie! The comdoll was off to a bad start on Friday as USD/CAD traded higher all throughout the Tokyo and London sessions, hitting a high at 1.0005. But all of a sudden, the Loonie rallied and finished the day with a 4-pip win at .9971.
Without any economic data from Canada, the Loonie traded according to market sentiment. Luckily for the comdoll, it seemed that the mixed figures from the U.S. employment report encouraged demand.
Our forex calendar is once again blank for reports from Canada today, so be sure you keep tabs on market sentiment ayt? Keep in mind that the Loonie usually does well when risk appetite is up!
Not today, boys! The Loonie failed to get support from the bulls yesterday as risk aversion weighed on the high-yielding currencies. USD/CAD tipped to an intraday high of .9994 before it capped the day 12 pips higher than its open price.
With the U.S. and Canada’s recent reports missing expectations and political concerns in the euro zone resurfacing, could you really blame the comdoll bears for charging? No data was released from Canada yesterday, so the Loonie was vulnerable to risk sentiment concerns.
Canada won’t be releasing any reports again today, but do keep an eye out for the big RBA interest rate decision today at 4:30 am GMT. If the central bank hints at cutting rates earlier than expected, then we might see more traders flee from the comdolls and into the Greenback.
Ka-pow! Take that, dollar! The Loonie managed to finish the day in positive territory thanks to the pick up in risk appetite. USD/CAD closed lower at .9958 from its opening price of .9980. Boo yeah!
There wasn’t any economic data on tap from Canada. However, there was enough risk appetite in the markets to boost the Loonie. As I said in my EUR commentary, the S&P 500 rose to multi-year highs. With the Loonie being considered as a “risk” asset, it mimicked the move in equities too!
If you’re planning on trading the currency today, be sure you’re on your toes not only for market sentiment but also for the Canadian Ivey PMI. Due at 3:00 pm GMT, the manufacturing report is expected to show an expansion for December at 53.9. A better-than-expected figure could fuel the Loonie’s rally, so watch out!
Despite the better-than-expected Ivey PMI, USD/CAD was unable to break out of its 50-pip trading range yesterday. USD/CAD simply moved sideways as it found resistance at the .9990 level and support at .9950.
The Ivey Purchasing Managers’ Index for the month of January came in at 54.8, which was a huge improvement from the previous month’s 43.1. Moreover, it was significantly better than the forecast of 53.6. This means that purchasing managers are optimistic about doing business in Canada.
No major data is scheduled to be published in Canada today as only the Building Permits and the New House Price Index (NHPI) will come out. They’re going to print at 1:30 pm and are expected to show 4.3% and 0.2%, respectively.
For almost an entire week, consolidation was the name of the game for the Loonie as USD/CAD kept moving sideways between the .9950 and .9980 levels. Will we see a breakout today? And which way can it go?
The lack of economic data from Canada yesterday kept USD/CAD stuck in its tight 30-pip range somewhere between .9950 and .9980. Today, however, could be a different story as Canada is set to print its jobs data for January.
The employment change report, which is due 2:30 pm GMT, is expected to show a 4.5K increase in hiring. This would be a muted figure compared to the 39.8K jump in employment last December. If the actual figure comes in line with expectations or lower, we could see USD/CAD break to the upside as the jobless rate is estimated to climb from 7.1% to 7.2% in that case.
Along with the jobs report, Canada’s trade balance is also set for release. The deficit is expected to have narrowed from -2.0 billion CAD to -1.5 billion CAD in December, reflecting an improvement in Canadian exports. Since the trade balance figure is more than a month old though, traders might pay more attention to the jobs release instead. Stay on your toes!
“Mayday, mayday, I’ve been hit!” The Loonie found itself moving lower last Friday as Canada’s labor and housing data failed to impress. USD/CAD began the day at .9981 but found itself above parity at 1.0028 by the end of the U.S. trading session.
Canada’s employment report showed that 21,900 (net) jobs were lost in January. It was a huge disappointment as analysts were expecting the labor market to add 4,500 jobs. Meanwhile, Canadaian housing starts only increased 161,000, significantly lower from the 196,000 rise the market had originally expected.
Not all were bad news though. The unemployment rate improved as it decline to 7.0% from the previous month’s 7.1%. In addition, the country’s trade balance for the month of December showed a small 900 million CAD deficit only. The forecast was a 1.5 billion CAD deficit. November’s deficit was also revised lower to 1.7 billion CAD from 2.0 billion CAD.
No biggies on Canada’s forex calendar this week so the Loonie will probably get its price action cues from events taking place in other major economies. Pay special attention to U.S. data, as they usually have an indirect effect on the Loonie’s price action.
Strike three! For the third day in a row, the Loonie ended the day in the red against the Greenback. In fact, USD/CAD shot up to an intraday high of 1.0085 before it capped the day 29 pips higher than its open price. What the heck happened?
It seems that investors still can’t get over Canada’s weak data from the previous week. If you remember, we saw surprisingly weak building permits, housing starts, and employment numbers that supported the BOC’s dovish stance.
Will Mark Carney’s speech at 2:45 pm GMT provide the Loonie some support? Analysts aren’t keeping their fingers crossed, especially when the BOC head honcho already gave dovish speeches and grim economic forecasts a few weeks back. Still, his speech is worth watching as he could always give out optimistic remarks or hint at his plans for the BOE this year.
Looks like the Loonie can give it as good as it gets! After taking a hit to start the week, the Canadian currency struck back against the Greenback, causing USD/CAD to undo most of its losses and end 25 pips lower at 1.0030.
Mark Carney does it again - this time for the Loonie! In his speech before the House of Commons Standing Committee on Finance yesterday, the BOC Governor sounded quite optimistic about the outlook for Canada and the global economy. Overall, he gave us a pretty good reminder that the BOC’s next move will likely be one of tightening rather than easing monetary policy. But don’t hold your breaths, because he also made it a point to say that although higher rates will be needed in time, they are also less imminent.
No reports on tap from Canada today, so in the meantime, set your eyes south of the border, where the U.S. is set to unload some heavy reports that could shake things up for USD/CAD.
Back-to-back, baby! Though the newswires were silent in Canada yesterday, the Loonie was able to sneak in some pips against the Greenback. USD/CAD slipped by another 10 pips after bottoming out at 1.0013.
The Loonie bulls have overall risk appetite and rising oil prices to thank. Not only was there a lack of butting heads over a “currency war” yesterday, but oil prices also ticked higher ahead of a U.S. oil inventory report. As you know, a more expensive oil is good for the oil-related Loonie.
Canada won’t be releasing economic reports until tomorrow when the monthly manufacturing sales numbers are due for release. This means that you should keep an eye out for any news from Japan and the euro and U.S. regions that might affect appetite for the high-yielding comdolls.
USD/CAD was still stuck in consolidation but managed to edge slightly lower during the U.S. session. The pair moved sideways along the 1.0015 area then dipped to parity for a while. Will this pair break out anytime soon?
There were no reports released from Canada yesterday, which explains USD/CAD’s sideways movement. For today though, Canada is set to print its manufacturing sales report for December and possibly show a 0.4% decline for the month. Keep an eye out for the actual release at 1:30 pm GMT because a stronger than expected figure might trigger a break below parity while a weak report could cause a bounce.
And just like that, the Loonie lost all its gains! After three consecutive days of wins versus the Greenback, the Canadian dollar took a beating on Friday, as USD/CAD closed at 1.0072, up 59 pips from its opening price.
Manufacturing sales might have played a key role in Canadian dollar’s drop, as it showed a 3.1% decline last month. Not only was this a complete reversal from the 1.9% increase we saw the month before, but it was substantially worse than the projected -0.4% figure.
No data headed our way from Canada today, but make sure you stop by my U.S. commentary for other potential market movers. Good luck trading today everyone!
Oooh, that selloff was nasty yo! After a brief consolidation below 1.0075, USD/CAD suddenly surged to the upside and reached the 1.0120 area. What the heck just happened?
U.S. traders were off on a President’s Day holiday on Monday, resulting to lower liquidity among dollar pairs, including USD/CAD. However, the pair soon broke to the upside despite the lack of economic data from Canada.
Traders could’ve been pricing in their expectations for today’s set of reports, which are Canada’s foreign securities purchases data and wholesale sales figure. Foreign securities purchases are expected to climb from 5.62 billion CAD to 7.61 billion CAD in December, reflecting stronger demand for Canadian assets and the Loonie. Meanwhile, wholesale sales are expected to show a 0.4% drop in December after rising by 0.7% in November. Stay tuned for the actual figures due 1:30 pm GMT because weaker than expected figures could trigger another USD/CAD rally.
USD/CAD may have been able to extend its rally to a third day, but it barely did so. After an entire day of trading, the pair finished just 11 pips higher at 1.0120. Are Loonie sellers finally running out of gas?
Weak data contributed to the Loonie’s slide as both reports released by Canada printed in the red. Foreign securities purchases was reduced by -1.92 billion CAD in December, versus forecasts that called for an increase of 7.21 billion CAD. Likewise, wholesale sales disappointed the markets by reporting a 0.9% decline, which is more than double the decrease the markets had prepared for. Word on the street is that this might be an early sign that we’re up for disappointment when Canada publishes its retail sales report on Friday.
In any case, it’ll be interesting to see if the markets can push the Loonie down to a new low again today, considering Canada won’t be publishing any reports. If you’re looking for catalysts for USD/CAD moves, all you’ve got to do is set your eyes south of the border, where the U.S. is scheduled to roll out some noteworthy reports!