Markets React: Hot Inflation, ECB Moves, Dollar Strength, and Commodity Gains

Today's expected range for the Canadian Dollar against the major currencies:

US Dollar        1.4100-1.4310

Euro                 1.4800-1.5050

Sterling            1.7900-1.8120

WTI Oil (opening level) $70.53

The CAD is opening at 1.4212 ( 0.7036)

Key Points

·    Equities: Hot inflation data, ECB rate cut, weak Chinese policy signals, global equity declines

·    Volatility: VIX rises slightly, inflation concerns, active options in AI and tech

·    Currencies: EUR rallies in crosses post-ECB, but can’t top strong US dollar, which rose across the board on new surge in US treasury yields

·    Commodities: Energy sector leads strong week for commodities

·    Fixed Income: European yields rebound post-ECB, US yields rise to local highs