VBCE Daily FX Report July 8th 2016

USDCAD spot rate: 1.3065 - 1.3070 (as at 7:42am PST)

Ranges:

Asia:

1.2989

to

1.3017

Europe:

1.2991

to

1.3025

North America:

1.2988

to

1.3081

Technical Support / Resistance:

S2

S1

R1

R2

1.2878

1.2918

1.3085

1.3129

Key Economic Data Releases:

- CAD Employment Change -0.7k (5k exp.) 13.8k prev
- CAD Unemployment rate 6.8 % (7.00%) 6.9% prev.
- US Non Farm Payrolls 287k (175K exp.) 11k (revised downward prev.)
- US Unemployment rate 4.9% (4.8% exp.) 4.7% prev.

Key Event Calendar:

Date Canada USA

July 11

Housing starts


July 12


Wholesale Inventories
July 13Bank of Canada interest rate announcement


July 14

New housing price index

PPI, initial jobless claims

July 15

Manufacturing Shipments CPI, Cap, Utilizaoin, Business Inv. Michigan consumer statement

After having been dominated by Brexit news the past few weeks we finally have a return to North American News driving the markets. A combination of extremely strong job numbers from the US and weak numbers out of Canada has left the Canadian dollar battered and is currently the weakest of the major currencies this morning. The markets are in the black so far, ending the week in positive territory. All eyes will be on next Wednesday's Bank of Canada Interest Rate announcement to see what effect Brexit will have on the Canadian domestic economy. Currently, the TSX is up 1.11% while the Dow is 0.91%. EURCAD is up 0.38% trading between 1.4341 and 1.4467. GBPCAD is up 0.72% trading between 1.6752 and 1.6935. JPYCAD is up 0.59% trading between 0.01288 and 0.01298. Gold is down 0.34% trading between $1,335 and $1,370USD/oz., silver is up 0.86% trading between $19.23 and $20.09 USD/oz., while oil is down 0.44% trading between $44.80 and $45.94USD/barrel

Sources: Reuters, Bloomberg, FXStreet, RBC Capital Markets, Bank of Canada, U.S. Federal Reserve, CNBC, Forexlive

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The information and opinions contained herein are gathered from sources which are thought to be reliable but the reader should not assume that the information and opinions are official or final. VBCE makes no warranty concerning the accuracy of the information and opinions, and accepts no liability for the consequences of any actions taken on the basis of the information and opinions provided. The content is for general information only and does not constitute in anyway giving financial advice.