Daily foreign exchange rates for our top 10 currencies & Update #forex #Vancouver August 28, 2020

USDCAD spot rate: 1.3100 - 1.3105 (as at 8:17am PST)

Technical Support / Resistance:

Key Economic Data Releases:

- Canada GDP (June): 6.5% exp 5.6% prev 4.8% Q2 annualized: -38.7% exp -39.6% prev -8.2%

- U.S. personal income: 0.4% exp -0.2% prev -1%

- U.S. personal spending: 1.9% exp 1.5% prev 6.2%

- U.S. Chicago PMI: 51.2 exp 52 prev 51.9

- U.S. consumer sentiment index: 74.1 exp 72.8 prev 72.8

Event Calendar:

Yesterday, USDCAD initially dropped from 1.3167 down to 1.3107 before climbing back to 1.3161. A subsequent move lower stalled at 1.3102 and the pairing bounced again to 1.3142. Technically support at 1.3135 which has held on numerous tests this month was broken. Volatility was high after the U.S. Fed officially adopted a new inflation targeting measure which could lead to low interest rates for a longer period of time. The USD initially weakened on the announcement only to recover and briefly trade higher on the session along with the CAD against most major currencies. Overnight, USDCAD dropped to 1.3047 – the lowest level since Jan. 22 ahead of the Canadian GDP report. Although CAD was the top performer yesterday, it has relinquished its gains this morning with USDCAD climbing back to 1.3118. The TSX is down 0.20% while the DJIA has officially erased its losses for the year - up 0.25%. EURCAD is up 0.50% trading between 1.5508 and 1.5606 - near a 1 week high after having fallen to a 6 week low yesterday. GBPCAD is up 0.86% near 3 week highs trading between 1.7312 and 1.7482. JPYCAD is up 1% trading between 0.01225 and 0.01244 – near a 1 week high after having fallen towards 3 month lows yesterday. Gold is up 2% trading between $1,923 - $1,966USD/oz after yesterday's fall from $1,975 down to $1,909. Silver is up 2.3% trading between $26.83 - $27.69. Oil (WTI crude) is down 0.5% trading between $42.70 - $43.41 – still near 6 month highs.