USD/CAD Open: 1.3168-72, Overnight Range: 1.3132-1.3198
WTI Oil is at $41.02 and gold is at $1,934.40. US markets are higher today.
For today, USD resistance is at 1.3190. Support is at 1.3107.
• Canada adds 378,000 jobs in September, unemployment falls to 9%
• Trump comments raise new stimulus package hopes
• Oil prices rise as Saudis contemplate new production cuts
The Canadian dollar rallied again, overnight. It was not alone. The domestic currency rose alongside the rest of the major G-10 currencies, led by a 0.44% rise in the New Zealand dollar. The latest shift to positive risk sentiment was triggered when President Trump changed his mind (again) on a COVID-19 Relief bill. Thursday, he suggested being open to a more encompassing bill than his earlier tweet about a narrow-focused stimulus plan.
Don't Waste Money With Banks.
Get Exchange Rates Up to 2% Better With KnightsbridgeFX
The Dow Jones Industrial Average closed with gains. Asia equity markets were mixed. Japan’s Nikkei 225 index closed moderately lower, while Australia’s ASX 200 finished unchanged. The big mover was the Shanghai Shenzhen 300 Index, which surged 2.04%. Pent-up demand lifted prices as markets had been closed for the past week because of Golden Week holidays.
European equity markets are higher, and US equity futures suggest a solid open on Wall Street.
Global FX markets are fixated on the United States of America.
US economic data and US politics are the major drivers of FX direction, and the G-10 currencies appear to trade as one.
US equities are rising as traders anticipate stimulus. FX traders are taking their direction from equity markets, which are signaling “risk-on.”
EURUSD bounced around in the earlier part of this week following a series of dovish comments from European Central Bank President Christine Lagarde and other ECB officials. They were warning of the need for additional monetary easing, expressing concern about the level of the currency, and stating that the risks to their economic outlook were to the downside.
EURUSD traders forgot those worries when President Trump appeared to flip-flop on a coronavirus relief bill. EURUSD is near the top of its 1.1705-1.1808 range for the week. A decisive break above 1.1810 will shift the focus to 1.1900.
GBPUSD bounced in a 1.2845-1.3005 range this week. Widespread US dollar selling pressure supported prices which was offset by weak economic data. UK August GDP rose 2.1% m/m, missing the forecast for a 4.6% gain. Analysts are concerned that the latest outbreak of coronavirus in the UK will drive September GDP even lower. Industrial and Manufacturing Production were also weaker than predicted.
GBPUSD continues to be buffeted by conflicting Brexit headlines, which will be the case until there is a deal or no-deal, officially.
Canadian markets are closed Monday for Thanksgiving.
Today’s Suggested Range USD/CAD: 1.3120 – 1.3220
We are built to beat bank exchange rates and save you money
KnightsbridgeFx is registered with FINTRAC, under the MSB registration number M09819788. Like most financial institutions, we are required to validate the identity of all clients. We have strict measures in place to protect your privacy.
Our Offices
Main office (Appointment only)
First Canadian Place
100 King Street West
Suite 5700 Toronto, ON,
M5X 1C7
(416) 479-0834
Toll-Free: 1-877-355-5239
Fax: 1-877-355-5239
All rights reserved. Knightsbridge Foreign Exchange
Currency Exchange Canada.
