Muted Trading as Canadian Dollar Fails to Bounce in Strong Job Data
| Action Insight Mid-Day Report 10-11-24 |
Muted Trading as Canadian Dollar Fails to Bounce on Strong Job Data |
Trading in the early US session is relatively subdued, with little momentum driving market moves. Canadian Dollar, despite an initial attempt to rally on the back of stronger-than-expected job data, has not been able to attract sustained buying interest. The market continues to price in further easing from BoC, as expectations mount that the central bank will lower interest rates to a neutral level within a year's time, from the current 4.25%. This sentiment persists even as Canada's labor market displays resilience. Meanwhile, Dollar has shown little reaction to PPI data released. US equity futures indicate a flat open as traders prepare for a long weekend, a scenario that typically leads to cautious positioning. On the bond front, 10-year Treasury yield has extended its near-term rally, pushing past the 4.1% mark. While rising yields have offered the greenback a mild lift against Yen, the critical 150 level for USD/JPY remains unbroken, as traders appear reluctant to test the psychological threshold before the weekend..... |
USD/CAD Mid-Day Outlook Daily Pivots: (S1) 1.3695; (P) 1.3735; (R1) 1.3782; More... Outlook in USD/CAD is unchanged and intraday bias stays on the upside for the moment. Sustained trading above 61.8% retracement of 1.3946 to 1.3418 at 1.3559 will extend the rise from 1.3418 to 1.3946 high again. On the downside, below 1.3702 minor support will turn intraday bias neutral first. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 21:30 | NZD | Business NZ PMI Sep | 46.9 | 45.8 | 46.1 | | 23:50 | JPY | Money Supply M2+CD Y/Y Sep | 1.30% | 1.50% | 1.30% | | 06:00 | EUR | Germany CPI M/M Sep F | 0.00% | 0.00% | 0.00% | | 06:00 | EUR | Germany CPI Y/Y Sep F | 1.60% | 1.60% | 1.60% | | 06:00 | GBP | GDP M/M Aug | 0.20% | 0.20% | 0.00% | | 06:00 | GBP | Industrial Production M/M Aug | 0.50% | 0.20% | -0.80% | -0.70% | | 06:00 | GBP | Industrial Production Y/Y Aug | -1.60% | -0.50% | -1.20% | -2.20% | | 06:00 | GBP | Manufacturing Production M/M Aug | 1.10% | 0.30% | -1.00% | -1.20% | | 06:00 | GBP | Manufacturing Production Y/Y Aug | -0.30% | -0.40% | -1.30% | -2.00% | | 06:00 | GBP | Goods Trade Balance (GBP) Aug | -15.1B | -19.2B | -20.0B | -18.9B | | 12:30 | USD | PPI M/M Sep | 0.00% | 0.10% | 0.20% | | 12:30 | USD | PPI Y/Y Sep | 1.80% | 1.60% | 1.70% | 1.90% | | 12:30 | USD | PPI Core M/M Sep | 0.20% | 0.20% | 0.30% | | 12:30 | USD | PPI Core Y/Y Sep | 2.80% | 2.70% | 2.40% | | 12:30 | CAD | Building Permits M/M Aug | -7.00% | -8.40% | 22.10% | 20.80% | | 12:30 | CAD | Net Change in Employment Sep | 46.7K | 34.5K | 22.1K | | 12:30 | CAD | Unemployment Rate Sep | 6.50% | 6.60% | 6.60% | | 14:00 | USD | Michigan Consumer Sentiment Index Oct P | 70.1 | 70.1 | | 14:30 | CAD | BOC Business Outlook Survey |
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