US dollar gets stronger after the comments from ECB

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

US Dollar             1.2675-1.2775

Euro                     1.4450-1.4550

Sterling                1.7150-1.7250

The US Dollar index is marginally stronger again this morning as it picked up some strength when ECB President Lagarde tried to walk back some of the comments she made yesterday regarding interest rates. The market had given the Euro a big boost on comments that the ECB could increase interest rates later this year but now Lagarde is highlighting that high inflation will not entrench itself in the economy and it may be sometime before they increase interest rates in Europe.

The Canadian Dollar had a relatively quiet day trading in a narrow range, USD.CAD opens the day near the 1.2700 (0.7874) again so it has not really moved all that much. The world is starting to take notice of all the border protests that are taking place with the Ambassador bridge the latest to be closed yesterday, if the Federal Government continues to stand on the sidelines and not get involved it will start to affect the flow of goods across the border which will then garner the attention of financial markets and affect the value of the Loonie.

We get some trade data today from both sides of the border, stocks are pointing to a flat opening so markets should remain calm ahead of Thursday's US CPI report.