By FXEmpire.com
Analysis and Recommendations:
The USD/CAD has moved close to parity, trading at 0.9997 as the USD continues to show strength in the global turndown of currency values. The euro continues to fall against the dollar and investors move to the safety of the greenback and the yen, at the expense of all the trading partners. In today’s session crude oil dropped to 96.69 losing more then another dollar, while gold plummeted to end the day at the bottom of the 1600 range, trading at 1604.85.
Commodities and commodity currencies all performed poorly today, as risk aversion was the theme.
The CAD should remain low against the USD until the 10th when there should be some supportive eco data from Canada, which could be offset by a slew of numbers due in the US including Trade balances from both sides of the border and unemployment figures in the US.
Market sentiment, currently favors the US along with hopes of Fed support, which dwindles with the drop in crude prices.
Eco Data for May 8, 2012, a very thin day
|
GBP |
RICS House Price Balance |
-19% |
-10% |
-10% |
|
AUD |
Trade Balance |
-1.59B |
-1.40B |
-0.75B |
|
CAD |
Housing Starts |
245K |
204K |
215K |
Upcoming Economic Events that affect the CAD and USD
|
May 10 |
13:30 |
USD |
-0.2% |
1.3% |
|
|
13:30 |
CAD |
1.0B |
0.3B |
||
|
13:30 |
USD |
-50.0B |
-46.0B |
||
|
13:30 |
USD |
369K |
365K |
||
|
13:30 |
USD |
3278K |
3276K |
||
|
14:30 |
USD |
||||
|
19:00 |
USD |
30.0B |
-198.2B |
||
|
May 11 |
13:30 |
USD |
0.3% |
||
|
13:30 |
CAD |
7.0K |
82.3K |
||
|
13:30 |
USD |
0.0% |
|||
|
13:30 |
CAD |
7.0% |
7.2% |
||
|
14:55 |
USD |
76.4 |
Government Bond Auctions (this week)
Date Time Country
May 09 09:10 Sweden
May 09 09:30 Germany
May 09 09:30 Swiss
May 09 09:30 UK
May 09 14:30 Sweden
May 09 15:30 Italy
May 09 17:00 US
May 10 15:00 US
May 10 17:00 US
May 11 09:10 Italy BOT auction
May 11 10:00 Belgium
Click here to read USD/CAD Technical Analysis.
Originally posted here
