The C$ is weak this morning giving back all it gained yesterday on lower oil and news that the Canadian government is considering increasing US tariffs. We recommend selling today as we see further weakness ahead.
Look for US$ strength today as yesterday’s news of record 40-year low unemployment numbers along with lower inflation is absorbed by the market. We see continuing strength into this afternoon.
After hitting a 2-week high the EUR is weaker this morning. We see further weakness today as Europe’s attention focuses away from Brexit towards promoting growth with lower interest rates.
- Drummond Gill