USD.CAD starts the week at 1.2120 level

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

US Dollar         1.2100-1.2200

Euro                 1.4700-1.4800

Sterling            1.7050-1.7150

The US Dollar Index is marginally weaker to start the week in what was a quiet overnight market. Stocks and Asian currencies are lower as new virus outbreaks in Singapore and Taiwan have rattled far East Markets enabling the Dollar to extend some small gains. Overall, the sentiment remains the same that the US Dollar should weaken as Western economies come back online but there will be bumps in the road.

The Canadian Dollar opens the week a little weaker against a broad range of currencies including the US Dollar but overall, it is holding onto its recent bout of strength which is a positive. USD.CAD opens the day at the 1.2120 (0.8251) and we will see if it can expand on those gains this week.

A busy week on the calendar which will be highlighted by the Canadian inflation report and the minutes from the last Federal Reserve meeting both on Wednesday. Ahead of these releases USD.CAD should continue to range trade as stock markets calm down.