Dollar on the rise, BoC neutral statement -...>

FOREX: Dollar on the rise, BoC neutral statement

- Global risk aversion continued on Wednesday with steep losses seen across the

equity space. SPX breached the key 2,800 level with the downtrend extending

through the 200-dma to 2,766.06, not closed below here since Mar 8.

- EURUSD continued its series of lower highs with added weight from EURJPY which

breached Y122.00 for the first time since early Jan. EURUSD touched $1.1125 and

brings the ytd lows in view at $1.1107.

- Sterling remains on the defensive amid heightened Brexit & political

uncertainty with the downtrend extending through $1.2615.

- The dollar maintained an outright bullish tone with steady gains seen across

G10 & EM FX. The DXY rallied to 98.20 and opens the ytd high at 98.37. 

- The BoC left rates on hold at 1.75% as exp. USDCAD spiked to C$1.3547 before

quickly paring gains after the accompanying statement gave no further guidance,

instead saying the accommodation provided by the 1.75% rate remains appropriate.

- SEK outperformed following the strong domestic GDP release. EURSEK touched

lows of Sek10.6628.