Canadian Inflation rate rose to 4.1%, its highest level since 2003
Today's expected range for the Canadian Dollar against the major currencies:
US Dollar 1.2600-1.2700
Euro 1.4850-1.4950
Sterling 1.7450-1.7550
The US Dollar Index is stronger this morning as markets start to get ready for next week's all important Federal Reserve Meeting where some decisions about tapering the stimulus program are expected. The big fear for the global economy seems now to be energy prices that is creating havoc in Europe, it has forced several large factories to close and has also forced a big change in the UK government as support for the Conservatives is dropping quickly. With inflation moderating in the US last month there is hope that the Fed can begin to cut back on their stimulus program but if the rest of the world is in turmoil, they may wait a little longer.
The Canadian Dollar had a bit of a rally yesterday has the Canadian Inflation rate rose to 4.1%, its highest level since 2003 and well above the Bank of Canada target range. The next BOC meeting is Oct 27th so we may be in for more volatility ahead of that meeting next month. USD.CAD opens the day at the 1.2645 (0.7908) level and it should be able to hold onto those gains for the day.
It is beginning to look like another Liberal Minority government as according to the Globe and Mail Poll released this morning, they hold a big lead in the all-important seat rich GTA. Markets will just shrug off this result and it should not affect the Loonie.
Today's expected range for the Canadian Dollar against the major currencies:
US Dollar 1.3325-1.3425
Euro 1.4600-1.4700
Sterling 1.6950-1.7050
Today's expected range for the Canadian Dollar against the major currencies:
US Dollar 1.2050-1.2150
Euro 1.4600-1.4700
Sterling 1.7025-1.7125
Today's expected range for the Canadian Dollar against the major currencies:
US Dollar 1.2700-1.2800
Euro 1.4350-1.4450
Sterling 1.6900-1.7000