Canadian dollar takes advantage of the higher oil prices

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

US Dollar             1.2900-1.3000

Euro                     1.3550-1.3650

Sterling                1.5700-1.5800

WTI Oil (opening level) $111.50

The US Dollar Index is for the most part unchanged in what was a quiet overnight session. European and Asian stocks all recorded small gains and after a down day yesterday the US markets are poised to jump higher on the opening. In the currency markets, the Euro lost some ground early in the London session as the ECB still has not given any clear guidance on what they will do with interest rates at their next meeting in July.

The Canadian Dollar like other commodity currencies has extended some gains against the US Dollar over the last few sessions as the oil and other commodity prices have extended their gains this week and once again seem to be on an upward motion as supply constraints are called into question. But given the continued overall strength in the Greenback US Dollar buyers may want to take a little advantage of this move, as we have seen in the past we could just as easily be back up near the 1.3000 (0.7692) level in very short order.

Lots of US secondary data on tap for today, with stocks pointing to a positive opening we could see the Loonie pick up a little more strength at the expense of the US Dollar.