The C$ is slightly stronger this morning on higher energy and metals prices. We foresee modest strength this week, as the C$ remains in a quiet range that should eventually break to new lows, so any rally should be a selling opportunity.
After testing new monthly highs on Friday the US$ is weaker overnight on the lack of a trade resolution with China. We foresee more weakness this week as the Fed is expected to maintain a low rate policy ahead of inflation numbers due Wednesday.
The EUR is rebounding this morning on Brexit hopes. We see a rally to 1.14 this week as a selling opportunity in a long-term weakening trend.
- Drummond Gill