The Canadian Dollar (CAD) is a bit firmer this morning, but just barely. The CAD is a relative loser on a day of broad US Dollar (USD) weakness, with the MXN losing ground, amid the focus on Trump’s support for wide-ranging tariffs in his interview with Bloomberg, notes Shaun Osborne, Chief FX Strategist at Scotiabank.
Mixed momentum signals suggest a swing trading within a range
“The CAD is a bit firmer this morning, but just barely. It’s a relative loser on a day of broad USD weakness, with the MXN losing ground, amid the focus on Trump’s support for wide-ranging tariffs in his Bloomberg interview.”
“Yesterday’s Canadian CPI data was mixed, but a central bank that appears willing to cut rates right now will likely focus more on the lower-than-expected headline reading (-0.1% MoM) than anything else. Swap pricing shows a 25bp cut on the 24th more or less fully priced in (21-22bp), pushing US-Canada term spreads a bit higher (2yr bond spreads wider at 67bp).”
“Spot losses from yesterday’s intraday high left a bearish ‘shooting star’ candle signal on the daily chart, suggesting a near-term top for the USD could be in place. However, modest intraday losses for the USD appear to have stalled around 1.3655/60 today. Mixed momentum signals suggest choppy range trading could extend a bit further between 1.36/1.37.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
