Currency market is settled ahead of the FED interest rate decision

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

US Dollar             1.3500-1.3600

Euro                     1.4400-1.4500

Sterling                1.6700-1.6800

WTI Oil (opening level) $75.90

After its big drop yesterday the US Dollar index is unchanged this morning as the markets settled in to await today's interest rate announcement from the Federal Reserve. It is fully expected that the Fed will increase interest rates by 0.5% down from the previous 0.75% increases but they will indicate that higher interest rates will be around for a longer period of time. Such an announcement will most likely give the US Dollar a boost this afternoon.

As I mentioned yesterday the Loonie was able to pick up some strength against the US Dollar right after the inflation announcement but it was not able to extend those initial gains any further, USD.CAD opens the day at the 1.3560 (0.7375) level and should remain steady ahead of the Fed announcement.

Stocks were mixed overnight and North America is pointing to a marginally lower opening to start the day, they too should remain steady ahead of the Fed announcement and will most likely have some volatility to close out the session.