Forex Market News - CANADA FX DEBT-C$ gets boost from stronger commodities
CANADA FX DEBT-C$ gets boost from stronger commodities
Tue Jan 6, 2009 5:44pm EST
* Canadian dollar touches highest level since November
* Bonds edge higher, helped by steady U.S. market
By Jennifer Kwan
TORONTO, Jan 6 (Reuters) - The Canadian dollar touched its
highest level against the U.S. currency in nearly two months on
Tuesday, as stronger commodity prices and hopes for economic
stimulus packages by western governments boosted sentiment.
Bonds were largely higher across the curve, helped by a
rebound in the bigger U.S. market, following a successful
The Canadian currency finished at C$1.1828 to the U.S.
dollar, or 84.55 U.S. cents, up from Monday's close at C$1.1900
to the U.S. dollar, or 84.03 U.S. cents.
Canada's dollar has been helped by the recent resurgence in
oil prices CLc1, which rose above $50 a barrel during the
session. But crude for February delivery settled down 23 cents
at $48.58 a barrel, as weak U.S. economic data offset rising
geopolitical tensions and OPEC production cuts.
The currency also found support from rising metal prices.
Copper climbed to its highest level in nearly five weeks
[ID:nL659417], while gold also finished higher [ID:nL1449620].
Fluctuations in commodity prices often sway the currency as
Canada is a major producer and exporter.
"I think generally the Canadian dollar is benefiting in the
early days of 2009 from a tentative view that there could be an
economic recovery globally by the second half of the year and
also by some moderate firming in commodity prices," said Doug
Porter, deputy chief economist, BMO Capital Markets.
Economic data will likely remain sour in coming months,
analysts say, but there could be room for growing optimism.
"People are now looking for the major economic releases and
anything that has a leading edge to it as opposed to rear-view
numbers," said Shane Enright, currency strategist, CIBC World
In late December, the currency was largely range-bound,
after being hit by tumbling commodity prices in the second half
Domestic government bond prices were mostly higher,
benefiting from a rebound in U.S. Treasury issues.
U.S. bonds erased losses on Tuesday afternoon, helped by a
decline in stocks from session highs and a successful auction
of inflation-protected bonds.
Earlier, supply concerns had pressured prices in both
markets and analysts expect this remain a concern.
"I do think that has been a factor weighing on the market
in the last couple of weeks. Basically, it's going to be a bit
of a battle between supply concerns and a very weak economy,"
In Canada, a record monthly drop in both industrial
producer and raw material prices was largely shrugged off by
the bond market, analysts said.
The two-year bond rose 1 Canadian cents to C$102.99 to
yield 1.151 percent, while the 10-year bond edged up 8 Canadian
cents to C$111.18 to yield 2.883 percent.
The yield spread between the two-year and 10-year bond was
175 basis points, versus 150 at the previous close.
The 30-year bond fell 20 Canadian cents to yield 3.652
percent. In the United States, the 30-year treasury yielded
(Reporting by Jennifer Kwan; editing by Rob Wilson)
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 18 Dec
10:00 EZ- final HICP Tue 19 Dec
09:00 DE- IFO Survey
13:30 US- Housing Starts/Permits
13:30 US- Current Account Wed 20 Dec
15:00 US- Existing Homes Sales
15:30 US- EIA Crude Thu 21 Dec
03:00 JP- BOJ Decision
13:30 CA- CPI & Retail Sales
13:30 US Weely Jobless
13:30 US- GDP Fri 22 Dec
09:30 US- GB- GDP
13:30 US- core PCE Deflator & Presonal Income
15:00 US- New Homes Sales
15:00 US- final University of Michigan
17:00 US- early Closes Mon 25 Dec
00:00 Christmas Holidays
Potential Trading Opportunities
POTENTIAL PRICE RISK: Medium Mon--10:00 GMT-- EZ- final November HICP. flash data are rarely changed.
POTENTIAL PRICE RISK: HIGH- Medium Tue --09:00 GMT-- DE- IFO Survey. Key report but usually not a market-mover
POTENTIAL PRICE RISK: HIGH- Medium- Tue --13:30 GMT-- US- Housing Starts and Permits. Leading indicators of activity
POTENTIAL PRICE RISK: HIGH-Medium- Wed --15:00-- US- Existing Homes Sales. Top Housing statistic
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.