Comments that trade talks are to restart and a planned extended meeting between the US & Chinese leaders at the G20 sent positive signals to the market. The immediate focus is on the FED and their comments on the direction of US interest rates due out in the afternoon.
Cad firmed against the US$ slightly yesterday boosted by restarting of trade talks and firmer oil prices. May inflation report is due out this morning, but should have a limited impact unless the report is outside of expectations. Expect C$ to remain range bound waiting for Fed comments.
US$ remains near a two week high vs EUR. EUR remains under pressure after the ECB comments of possible stimulus. Negative interest rates, domestic political concerns & Brexit have speculators commenting that the EUR could retest the lows seen in May 2017.
GBP rallied on the May inflation numbers which were inline with expectations. The rally stalled with Eurosceptic Boris Johnson remaining the favorite to become the next PM.