February 9, 2012
USD/CAD Open 0.9955-60 Overnight Range 0.9945-80
The Canadian dollar chopped around aimlessly in a tight range ahead of an expected Greek debt negotiation resolution, and ECB and the Bank of England meetings. The EUR has strengthened, the USD weakened, in anticipation that a Greek deal will be achieved. The ECB is widely expected to leave rates unchanged so the Draghi press conference will be closely scrutinized for future insight.
It’s another light day for data with US Jobless claims (forecast +370K being the highlight. Asian and European equity indices were all higher (except Spain) while NY equity futures are lower. WTI Oil is $99.32/bbl and gold is $1,731.39
The short term CAD$ technical’s are unchanged-bullish CAD$R while within the .9870-1.0010 US dollar downtrend channel. For today, USD support is at 0.9940, 0.9910 and 0.9880. Resistance is at 0.9980, 1.0005 and 1.0030
The Canadian dollar continues to lag gains made by other “commodity currencies” in the past few weeks weighed down in part to demand for EUR/CAD and in part due to less than stellar economic data.
And in other news, a rookie NDP MP from Quebec, Safia Hassainia, is back in the House of Commons, after being forced to leave for having her infant with her. Apparently the baby had to go because his behaviour was far better than the other 308 members of parliament.
Today’s Range 0.9940-0.9980