CAD picks up some gains against other currencies

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

US Dollar             1.3100-1.3200

Euro                     1.3100-1.3200

Sterling                1.5150-1.5250

WTI Oil (opening level) $88.30

The US Dollar index is marginally weaker this morning as global investors await this morning's US August Employment report. The Dollar did pull back a little overnight as stocks had a positive finish to the day, that being said the US Dollar index remains near a 20-year high and there is strong expectation that it will continue to rise.

The market is expecting some 300K new jobs to have been created last month in the US which would be down from the July 528K jobs that were created but would still be 20 straight months of job creation south of the border. If the report comes in as expected or even just slightly less than expectation, I think you will see the US Dollar jump as that won't be enough to sway the Federal Reserve from a big interest rate hike later this month.

The Canadian Dollar is holding steady above the 1.3100 (0.7634) level for the moment as it awaits the US Jobs report. It was able to pick up some small gains last night but if we get a strong report out of the States then I think you will see the exchange rate move back towards the 1.3200 (0.7576) level throughout the day. Canada's August Employment report will be out next Friday.