Loonie rebounds on oil gains
Daily Currency Update
The Canadian dollar experienced a mild rebound this morning from the losses it saw yesterday. With a lack of Canadian data this week, the Loonie has been impacted by broader market movements. As oil continues to rebound, the Loonie seems to be following. The USD/CAD pair is trading at 1.3670 at the time of writing.Key Movers
The US dollar index (DXY) was down 0.2% heading into today’s session as stock markets pointed towards higher opens and oil prices continued to rebound. The Greenback jumped yesterday after inflation numbers for September came in higher and caused markets to expect a December rate hike. The focus today shifted to more risk-positive assets such as oil. The only US data released today is the University of Michigan consumer confidence sentiment survey which is expected to drop from 68.1 to 67.2.Oil prices rebounded this morning with the US benchmark West Texas Intermediate (WTI) price rising more than $3 a barrel, back to over $86 a barrel. Oil prices have been volatile as of late and could continue to depend on the developments on the geopolitical front. Oil’s rebound may not be over as long as it stays trading above the 200-day moving average of $77.50.
Expected Ranges
- EUR/CAD: 1.4379 - 1.4458 ▼
- GBP/CAD: 1.6614 - 1.6706 ▼
- AUD/CAD: 0.8630 - 0.8725 ▼
- USD/CAD: 1.3600 - 1.3705 ▼