USD index remains under the pressure as Biden looks to seek support for his stimulus plan

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

US Dollar         1.2250-1.2350

Euro                 1.4775-1.4875

Sterling            1.7000-1.7100

The US Dollar Index is unchanged to start the new month as bank holidays around the world have led to quiet financial markets. Overall, the US Dollar index was down around 2% last month as stocks continued their gains and the US interest rate market fell back from its highs in March. We should see continued pressure on the US Dollar this month as the Biden Administration looks to seek support for its massive stimulus plan.

The Canadian Dollar has levelled off from its strong run of last week and opens the day at the 1.2290 (0.8137) level. From everything I have been reading the Loonie is still expected to outperform other currencies over the short-term at least until more central banks start to scale back their stimulus programs and ponder interest rate hikes.

Markets should pick up pace again tomorrow as it is a busy week on the calendar to start the month, we get lots of central bank speakers, picture of current trade data and finally both US and Canadian Employment reports at the end of the week.