Wednesday June 12th, 2019

US$ remains within the current trading band despite market conditions and comments. Growing concerns that US/China meeting at the G20 may not be as positive as hoped. A Tweet commenting that Euro and other currencies were “devalued” against the US$. Oil pricing falling 2% on lower demand and higher inventories. CPI out today could provide short term direction as speculation that the Fed may ease in June is growing.


US$ firmed slightly vs C$ on falling oil prices and US/China trade tensions/comments. We may see an opportunity to buy US$ dips, this won’t be on the back of strong C$ but rather weaker US$.


Euro tested close to 3 month highs but failed to break out of the range. Global and domestic concerns have reduced investor appetite to be long Eur. Expect Eur to be sidelined in June until we get clarity of US/China trade direction after the G20.


GBP firmed, benefiting from US$ weakness vs growing confidence. Johnson committed to the Brexit October deadline if he is PM. The leadership race continues and we expect GBP to remain vulnerable to until the new PM is selected.