Free Trial
EURUSD TECHS

Corrective Cycle Still In Play

OPTIONS

Mostly Downside In Euribor

GLOBAL

UN Pushes For A Monetary Policy "Pivot"

OPTIONS

Larger FX Option Pipeline

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

USDCAD Helped Further Off Session Highs By FOMC Minutes

CANADA
  • The FOMC minutes helped continue a prior move lower for USDCAD to step back from session highs but still sit +0.4% at 1.2898.
  • A widening in the Can-US yield differential on the day (2Y +9bps, 10Y -5bps) and a bounce in oil has helped trim gains, although correlation with the latter is fading again to almost -0.30.
  • The pair falls back into its recent range and the 1.29 mark seen after WTI most recently fell below $90/bbl, although it did fleetingly clear resistance at 1.2934 (Aug 15 high) by two pips, a more sustained break of which could open short-term key resistance at 1.2985 (Aug 5 high).
  • Potential risk factors from a variety of second tier data releases tomorrow including, on the US side, initial claims for a payrolls reference week, activity surveys after the huge miss in August Empire and existing home sales, plus Canadian industrial prices.

USDCADSource: Bloomberg

161 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.
  • The FOMC minutes helped continue a prior move lower for USDCAD to step back from session highs but still sit +0.4% at 1.2898.
  • A widening in the Can-US yield differential on the day (2Y +9bps, 10Y -5bps) and a bounce in oil has helped trim gains, although correlation with the latter is fading again to almost -0.30.
  • The pair falls back into its recent range and the 1.29 mark seen after WTI most recently fell below $90/bbl, although it did fleetingly clear resistance at 1.2934 (Aug 15 high) by two pips, a more sustained break of which could open short-term key resistance at 1.2985 (Aug 5 high).
  • Potential risk factors from a variety of second tier data releases tomorrow including, on the US side, initial claims for a payrolls reference week, activity surveys after the huge miss in August Empire and existing home sales, plus Canadian industrial prices.

USDCADSource: Bloomberg