Monday July 8th, 2019

Friday’s stronger than expected NFP put the spot light back on the FED and interest rate expectations. FED chairman is testifying Wed/Thur and investors will be listening closely to his comments. Trade talks are set to resume this week, but optimism remains low for a quick resolution.

C$ initially weaker on poor jobs data  Friday, managed to recoup lost ground on stronger oil prices. BOC meets on Wednesday, which should dictate C$ short term direction. 1.3050 remains key pivot point for C$ and under current conditions we may see new highs set for C$ this week.

Euro saw mixed trade data today, but ongoing EBC rate concerns continue to hang over the currency. Any rally EUR rally ahead of Wednesday should be limited and generally EUR will be sidelined.

GBP is starting to consolidate close to 6 month lows. Uncertainty over political leadership, Brexit and general economic conditions should keep GBP under pressure.