Daily foreign exchange rates for our top 10 currencies & Update #forex #Vancouver February 23, 2018

USDCAD spot rate: 1.2670 - 1.2675 (as at 8:03am PST)

Technical Support / Resistance:

Key Economic Data Releases:

- Canada CPI m/m: 0.7% (exp 0.4% / prev -0.4%) y/y: 1.7% (exp 1.4% / prev 1.9%)

- Canada Core CPI common: 1.8% (prev 1.6%) trim: 1.5% (prev 1.4%) median: 1.8% (prev 1.8%)

Event Calendar:

Yesterday, USDCAD climbed from 1.2700 up to 1.2753, the 5^th consecutive day of gains for the USD. The catalyst for the early move higher was weaker than expected Canadian retail sales data for December. The move higher quickly reversed as positive market sentiment, a drop in U.S. yields, and higher oil prices (+1.60% towards $63) caused a weaker USD taking USDCAD down to 1.2670. The pairing climbed back to eventually settle in a 1.2690 - 1.2720 range for the balance of the session as U.S. 10 year yields returned to 2.94% near 4 year highs. The CAD is the best performing currency today after Canadian inflation (CPI for January) came in much stronger than expected. USDCAD dropped from 1.27 to 1.2617/22 on the headlines. The move was short-lived with USDCAD climbing back to test the 1.2700 level. With positive market sentiment, higher oil prices, and U.S. 10 year yields falling to 2.87%, the USD is under some pressure this morning and USDCAD has fallen back to 1.2670. Currently, the TSX and the DJIA are up 0.36% and 0.55% respectively. EURCAD is down 0.70% trading between 1.5520 and 1.5675. GBPCAD is down 0.20% trading between 1.7650 and 1.7782. JPYCAD is down 0.30% trading between 0.01183 and 0.01190. Gold is unchanged trading between $1,325 and $1,331USD/oz., silver is down 0.50% trading between $16.50 and $16.63USD/oz., while oil is up 0.85% trading between $62.34 and $63.32.

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