Euro rebounds as investors expect another interest rate hike from ECB

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

US Dollar             1.3700-1.3800

Euro                     1.3500-1.3600

Sterling                1.5500-1.5600

WTI Oil (opening level) $83.60

The US Dollar index is marginally higher this morning in what was a quiet overnight market. The Pound received a small boost as Sunak was officially appointed Prime Minister and given his financial market experience market watchers will now see if he can use that experience to fix the UK economy. The Euro is also fairly stable at the moment as markets are expecting another interest rate hike from the ECB on Thursday which may give a small boost to the Euro in the short-term.

The Canadian Dollar is holding steady this morning and should remain range bound throughout the day as the Canadian market awaits tomorrow’s interest rate decision from the Bank of Canada.

After a strong day yesterday, stocks are pointing lower on the opening and US treasury rates are pushing higher which should help the US Dollar to hold onto recent gains and may push it a little higher through the course of the day.