Forex News - CANADA FX DEBT-C$ closes at highest level in nearly a week
Mon Nov 24, 2008 4:45pm EST
* C$ draws support from surge in oil prices
* Improved market sentiment also pays key role
* Bond prices get hit by Citigroup rescue plan
By Frank Pingue
TORONTO, Nov 24 (Reuters) - The Canadian dollar jumped to
its highest level in nearly a week on Monday as a surge in the
price of oil and a rally in global equity markets took a bit of
the shine off the U.S. dollar's recent safe-haven status.
Canadian bond prices ended down across the curve as news
that the U.S. government had stepped in to prevent the collapse
of Citigroup, the world's largest banking group, sparked
intense demand for recently beaten down equities.
The Canadian dollar closed at C$1.2345 to the U.S. dollar,
or 81.00 U.S. cents, up from C$1.2772 to the U.S. dollar, or
78.30 U.S. cents, at Friday's close.
The Canadian dollar's rally, which came after two losing
weeks during which it shed a total of 7 percent, marked its
biggest one-day percent gain in since Oct. 29.
A surge in the price of oil, a key Canadian export, and a
rally in equity markets got credit for the currency's latest
rise since it was lower oil prices and falling equities that
had weighed on the currency in recent weeks.
The bid for stocks followed news that the U.S. government
would bail out Citigroup by agreeing to shoulder most of the
bank's potential losses.
The Canadian currency has been closely following moves in
equity markets, where heavy losses had prompted a slew of
risk-averse investors to embrace the greenback.
"Obviously a broad U.S. dollar soft tone today was part of
the reason for the rally in the Canadian dollar, and we also
saw oil prices firm up ... so that's probably the second leg of
the source of support for the Canadian dollar," said Charmaine
Buskas, senior economics strategist at TD Securities.
"Those have been the two big drivers drivers for the
Canadian dollar going back for several weeks now and the
reversal of those two factors just are really what's driving
The dollar showed little interest in comments by Canadian
Finance Minister Jim Flaherty, who said the country's economic
picture is not improving and that it is reasonable that the
economy could soon fall into recession.
Many market participants have long since accepted that
Canada's economy will fall into a recession, which is usually
defined as two straight quarters of economic contraction.
Canadian bond prices all ended lower along with a drop in
the bigger U.S. Treasury market as the Citigroup rescue gave
some relief to investors and left little interest in buying
"People are a little more upbeat and (there is) a little
bit less risk worry, so bonds have given back a little bit of
the hefty gains they scored last week," said Michael Gregory,
senior economist at BMO Capital Markets.
But persistent fears about the unfolding credit crisis and
the slowdown in the global economy cushioned the slide in bond
The Canadian overnight Libor rate LIBOR01 was 2.3166
percent, down from 2.4833 percent on Friday.
Friday's CORRA rate <CORRA=> was 2.2430 percent, down
slightly from 2.2437 percent on Thursday. The Bank of Canada
publishes the previous day's rate at around 9 a.m. daily.
The two-year bond fell 4 Canadian cents to C$101.83 to
yield 1.829 percent. The 10-year bond slid 33 Canadian cents to
C$105.97 to yield 3.506 percent.
The yield spread between the two-year and 10-year bond was
166 basis points, down from 169 at the previous close.
The 30-year bond shed 45 Canadian cents to C$115.65 to
yield 4.067 percent. In the United States, the 30-year Treasury
yielded 3.784 percent.
(Reporting by Frank Pingue; editing by Peter Galloway
Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests.
Forex Trading News
Daily Forex Market News Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Forex News Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."
Elevate Your Trading With The Amazing Trader!
The Amazing Trader includes:
Actionable trading levels delivered to YOUR charts in real-time.
Mon 26 Feb 2018 A 15:00 US- New Homes Sales Tue 27 Feb 2018 A 08:55 DE- Jobless B 13:30 US- Durable Goods A 15:00 US- CB Consumer Confidence A 15:00 US- Pending Homes Sales AA 15:00 US- Powell House Testimony Wed 28 Feb 2018 A 10:00 EZ- flash HICP AA 13:30 US- GDP A 15:30 US- EIA Crude Thu 1 Mar 2018 A All Day final Mfg PMIs A 13:30 US- Weekly Jobless AA 13:30 US- Core PCE Deflator AA 15:00 US- Powell Senate Testimony A 15:30 US- EIA Crude Fri 2 Mar 2018 AA 15:00 US- final Univ of Mich
John M. Bland, MBA co-founding Partner, Global-View.com
Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.
looking for your first broker or do you need of a new one? There are
more critical things to consider than you might have thought.
We were trading long before there were online brokers. Global-View
has been directly involved with the industry since its infancy. We've
seen everything and are up-to-data with recent regulatory changes.
The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.
The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.
Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.
The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.
Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.
Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.
Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.
WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES
CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN
EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE
PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE
INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC
REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL
SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR
SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.