- USD / CAD continues to trade below 1.3000 on Tuesday.
- Oil is clinging to modest daily gains, targeting OPEC +.
- The US Dollar Index remains in negative territory below 92.00.
The USD / CAD closed on Monday with small gains at the 1.3000 zone. On Tuesday it began to move lower in the Asian session and bottomed in European hours at 1.2941, near the Monday floor. It then bounced higher, off the ground and climbed to the 1.2980 zone, which held the rebound for the time being. It is trading 1.2975, in negative territory for the day, with no clear direction.
WTI and Stock Rebound Supports CAD on Tuesday
The poor performance of Petroleum at the beginning of the week they put pressure on the loonie. On Tuesday, the WTI remains sideways, above $ 45.00, with the focus on the negotiations of the Organization of Petroleum Exporting Countries and its allies (OPEC +).
Stocks are rising Tuesday on the back of Asian economic data and vaccine optimism. This has put the dollar on the defensive. The DXY set new lows for this year but then bounced back above 91.70.
On Tuesday, Canada’s statistics agency will publish the GDP growth data for the third quarter, which are expected to show that the economy expanded at a rate of 47.6% annually. Later in the session, IHS Markit will publish the PMI reports for both US as for Canada.