Canadian Data Crushed by Monster Data Disappointment

The Canadian dollar was crushed by worse than expected domestic data on Friday, and it hasn’t recovered. The October 20 release of August Retail Sales and the September inflation report disappointed markets and sent traders scrambling to sell Canadian dollars. External events were also putting downward pressure on the Canadian dollar.  The US dollar rallied steadily throughout last week, supported

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Canadian Dollar Sideswiped

A Bank of Canada official sideswiped the Canadian dollar.   Yesterday BoC Deputy Governor Timothy Lane said they were closely watching the strength of the Canadian dollar.  He added that the Nafta negotiations are a risk. The Canadian dollar was overbought prior to the speech which may have exacerbated the USDCAD rally.  Prices accelerated higher, blowing through resistance at 1.2240, finally

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Canadian Dollar Hangs on to Gains

The Canadian dollar soared on Wednesday, rising 2.1% against the US dollar.  The move followed a sort of surprising Bank of Canada interest rate increase.  The BoC increased the overnight rate from 0.75% to 1.00% and issued a very upbeat sounding statement. The Bank cited: 1) stronger than expected economic data   2) Growth becoming more broadly-based and self-sustaining 3) widespread

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