EUR/USD 1.15812
0.104%
Gold 4163.46
0.793%
Oil 58.132
0.202%
USD/JPY 155.807
-0.169%
GBP/USD 1.31864
0.168%
GBP/JPY 205.461
0.007%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Reserve Bank of New Zealand Governor Hawkesby: 2026 will be a period of decline in inflation towards 2% and economic recovery.Reserve Bank of New Zealand Governor Hawkesby: The committee is more comfortable with inflation expectations than earlier this year.On November 26th, US President Trump stated on social media on November 25th that the USs new "28-point" plan to end the Ukraine crisis has been further refined. Currently, disagreements remain regarding some clauses, and the US will send representatives to communicate separately with both Russia and Ukraine on the plan. Ukrainian President Zelenskyy stated on the same day that he was willing to meet with Trump to discuss some issues related to the "peace plan." Furthermore, Ukrainian negotiators also denied on the 25th US media reports that Ukraine had "agreed in principle" to the US "peace plan."November 26th - According to a report in the Yomiuri Shimbun on Wednesday, Japans opposition parties are stepping up preparations in case Prime Minister Sanae Takaichi announces a snap election. Some analysts believe that a snap election could occur as early as January next year, which would affect the governments economic policies, including the deliberation of Japans annual long-term fiscal blueprint, which is expected to be released around June next year. Depending on the timing of the election, it could also affect the pace and timing of the Bank of Japans interest rate hikes. The Bank of Japan typically avoids making major policy adjustments before elections. Jun Azumi, secretary-general of Japans largest opposition party, the Constitutional Democratic Party, said on Tuesday that the party would cooperate with other parties to win back seats from the ruling coalition.New York silver futures rose 1.00% on the day, currently trading at $52.15 per ounce.

As Oil Bulls Relax And US Inflation Is Monitored, USD/CAD Recovers Around 1.3350

Daniel Rogers

Feb 13, 2023 14:42

 USD:CAD.png

 

The USD/CAD rebounds from a five-week low. After a solid employment report and an increase in oil prices, Loonie bears joined the market. Before the release of the US CPI, aggressive Fed comments and good US data test sellers.

 

After falling the most in five weeks the previous day, the USD/CAD is fluctuating around the middle of the 1.3300s in the early Asian session on Monday. Ahead of US Consumer Price Index (CPI) data, the Loonie/U.S. dollar pair exhibits market consolidation amid mixed US signals.

 

After a strong Canadian employment report and a rise in WTI crude oil prices, the Loonie pair dropped the most since the beginning of January.

 

WTI crude oil reached a new monthly high of $80.48 the day before, despite market rumors that Russia may reduce oil production by 500,000 barrels in March to counter European penalties.

 

The Net Change in Employment for January in Canada increased to 150K from 15K expected and 69.2K revised. The unemployment rate was 5.0%, not 5.1%.

 

As evidenced by BoC Governor Tiff Macklem's dovish comments, the stronger Canadian employment report makes it tougher for the Bank of Canada to pause its rate hike trajectory, benefiting USD/CAD bears.

 

Nevertheless, preliminary US University of Michigan (UoM) Consumer Sentiment for February increased to 66.4 from 65.0 anticipated and 64.9 previously. This month, the UoM announced that inflation forecasts for the coming year jumped to 4.2% from 3.9% in January and 4.4% in December. UoM said that long-term inflation estimates (5-year) stayed at 2.9% for the third consecutive month and remained within a narrow band of 2.9% to 3.1% for 18 of the last 19 months. Friday, the US Bureau of Labor Statistics adjusted the December Consumer Price Index (CPI) from -0.1% to 0.1% based on revised seasonal adjustment variables.

 

Recent contradicting statements from Richmond Federal Reserve (Fed) President Thomas Barkin and the US-China dispute over "unidentified objects" appear to challenge sentiment and boost the USD due to its safe-haven status.

 

S&P 500 Futures decrease as interest rates on US Treasury bonds increase, benefiting the US Dollar and USD/CAD buyers ahead of critical US inflation data.

 

Due to reports of a Fed policy shift, USD/CAD traders should monitor risk catalysts before to the January US Consumer Price Index (CPI) release on Tuesday.


Suggestion