June 19, 2024 12:04 GMT
USDCAD Nudging Fresh Week Lows, BoC Minutes In Focus
CANADA
- USDCAD hovers just under 1.3710, having nudged below the week’s low seen yesterday with the S&P e-mini back near late yesterday’s high.
- The mild decline has stopped short of support at 1.3674 (50-day EMA) and the technical trend remains bullish with resistance seen at 1.3792 (Jun 11 high).
- However, positioning could limit increases from here. Whilst only for futures, last week’s CFTC data showed CAD net shorts at a historically large 42% of open interest (last larger in mid-2017) having built from 35% prior to the BoC’s not fully priced first cut of the cycle.
- Ahead, the BoC’s summary of deliberations from that decision will be watched for back-to-back rate cut clues at 1330ET (BoC-dated OIS at ~17bps). First though, population growth for Q1 and credit aggregates for April at 0830ET.
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