User Name: Password:      Register - Lost password?

Forex News Blog
Back to The Headlines
Monday March 1, 2010 - 22:54:35 GMT
Reuters - www.reuters.com

Share This Story:
| | Email

Forex Market News - CANADA FX DEBT-C$ rises in GDP data afterglow, bond yields up

5:09pm EST

* C$ jumps more than 1 U.S. cent to 96.06 cents

* Bond yields rise as rate hike expectations edge up

* Canada economy roars back to life in Q4

* Bank of Canada rate announcement on Tuesday in focus

By Ka Yan Ng

TORONTO, March 1 (Reuters) - Canada's currency soared against the U.S. dollar on Monday, while government bonds fell after data showed Canada's fourth-quarter economic growth beat estimates, raising the possibility that the Bank of Canada could raise interest rates sooner than it had planned.

The better-than-expected data lit a fire under the Canadian dollar, lifting it to its highest level in almost a week as investors deliberated whether the Bank of Canada would back away from its conditional pledge to keep rates at their current record low level until the end of the second quarter.

The Canadian dollar closed at C$1.0416 to the U.S. dollar, or 96.06 U.S. cents, up from Friday's close at C$1.0525 to the U.S. dollar, or 95.01 U.S. cents. Its session high was C$1.0410 to the greenback, or 96.06 U.S. cents.

"It's a real bellwether day for the Canadian dollar," said Eric Lascelles, chief economics and rates strategist at TD Securities.

With the Canadian economic outlook improved significantly, markets players were eagerly looking forward to the Bank of Canada's policy announcement on Tuesday for hints on the interest rate outlook. [ID:nN25256606]

All 12 primary securities dealers surveyed by Reuters expect the Bank of Canada to maintain its overnight target rate at its current 0.25 percent. [ID:nN25112645] <CABOCR=ECI>

If the Bank of Canada does little to change its tone or language in its statement on Tuesday, the currency may lose some of Monday's gains.

"I think that some of today's enthusiasm may be unwound tomorrow, but I can't fully blame the market for its response because, undeniably, the Canadian economy is suddenly looking rather good," Lascelles said.

Strong consumer spending and new housing construction helped boost Canada's annualized economic growth in the fourth quarter of 2009 to 5.0 percent, Statistics Canada said, exceeding market expectations for a 4.1 percent increase and the Bank of Canada's 3.3 percent projection. [ID:nN01244875] <ECONCA>

"At this point, I think the bank does have scope to maintain its conditional commitment of holding the overnight rate unchanged until the end of the second quarter, although certainly the probability is rising that they may have to move in advance of that," said Paul Ferley, assistant chief economist at Royal Bank of Canada.

BOND YIELDS RISE

Canadian bond yields edged higher after the GDP data, and decoupled from U.S. Treasuries, which were more in tune with a safety bid spurred by mixed U.S. economic data and unresolved worries about Greece's debt. [US/]

U.S. consumer spending rose for a fourth straight month in February but manufacturing activity increased more slowly than expected, suggesting patchiness in the U.S. recovery that may result in low interest rates for some time. [ID:nN01245103]

"It's extraordinarily rare for Canadian bonds to sell off while U.S. bonds simultaneously rally," Lascelles said.

"But that's precisely what you would expect in the context of a market that is rather anxiously beginning to price in Bank of Canada rate hikes as a consequence of the GDP numbers."

Yields on overnight index swaps, which trade based on expectations for the Bank of Canada's key policy rate, edged higher after the GDP data, showing the market saw tightening as slightly more likely. <BOCWATCH>

The two-year Canadian government bond <CA2YT=RR> dropped 14 Canadian cents to C$100.30 to yield 1.350 percent, while the 10-year bond <CA10YT=RR> fell 7 Canadian cents to C$102.73 to yield 3.403 percent.

Canadian bonds underperformed their U.S. counterparts across the curve, with the difference between 10-year yields narrowing to 20.5 from 22.4 on Friday. (Editing by Peter Galloway)

© Thomson Reuters 2010. All rights reserved. Users may download and print extracts of content from this website for their own personal and non-commercial use only. Republication or redistribution of Thomson Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters and its logo are registered trademarks or trademarks of the Thomson Reuters group of companies around the world.

Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests.

 

 

 

Forex Trading News

Forex Research

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 here.

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."



Actionable trading levels delivered to YOUR charts in real-time.

Register To Test Your Amazing Trader

GVI Trading. Potential Price Risk Scale
AA: Major, A: High, B: Medium

Mon 9 July 2018
AA 12:00 EZ- Draghi EU Parliament Testimony
Tue 10 July 2018
AA 08:30 GB- Ind/Prod Output, Trade
AA 09:00 DE- ZEW Survey
Wed 11 July 2018
A 12:30 US- PPI
A 14:00 CA- Bank Of Canada Decision
A 14:30 US- EIA Crude
Thu 12 July 2018
AA 12:30 US- CPI
Fri 13 July 2018
A 14:00 US- Prelim University of Michigan
John M. Bland, MBA
co-founding Partner, Global-View.com


Global-View Affiliate Program

We are starting an affiliate program to market some of our products.

Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.

Put the word "affiliate" in the email subject line.

Contact us

Start trading with forex broker Markets Cube



Max McKegg's Daily Forex Trading Forecasts

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.


Request a TRIAL of Max's Forex Service.


pic

Retail Forex Brokerage Changing!

Are you 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.

Our Best Brokers listing section includes:Forex Broker Reviews, Forex Broker Directory, Forex Broker Comparisons and advice on How to Choose a Forex Broker

If would like guidance, advice, or have any concerns at all ASK US. We are here to help you.

SEE Our Best Brokers List

Currency Trading Tools

  • Live rates, currency news, fx charts. 

  • Research reports and currency forecasts.

  • Foreign Exchange database and history.

  • Weekly economic calendar.

Directory of  Forex trading tools

 
Terms of Use    Disclaimer    Privacy Policy    Contact    Site Map


Forex Forum
Forex Trading Forum
Forex Forum + forex rates
Forex Forum Archives
Forex Forum RSS
Free Registration

Trading Forums
Currency Forum Guide
Forum Directory
Open Forum
Futures Forum
Political Forum
Forex Brokers
Compare Forex Brokers
Forex Broker News
Forex Broker Hotline

Online Forex Trading
Forex Trading Tools
Currency Trading Tools
Forex Database
FX Chart Points
Risk/Carry Trade Chart Points
Economic Calendar
Quicklinks to Economic Data
Currency Futures Swaps
Fibonacci Calculator
Currency Futures Calculator

Forex Education
Forex Learning Center
FX Trading Basics Course
Forex Trading Course
Forex Trading Handbook

Forex Analysis
Forex Forecasts
Interest Rate Forecasts
Central Bank Forecasts

FX Charts and Quotes
Live FX Rates
Live Global Market Quotes
Live Forex Charts
US Dollar Index Chart
Global Chart Gallery
Daily Market Tracker
Forex News
Forex Blog
Forex News
Forex Blog Archives
Forex News RSS
Forex Services
Forex Products
GVI Forex
Free Trials
FX Bookstore
FX Jobs and Careers
Jobs USA
Jobs UK
Jobs Canada

Forex Forum

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.

Forex News

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

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.

Forex Brokers

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 Trading

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.

FX Trading

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.

Forex Blog

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.

By using this website, you are agreeing to our Privacy Policy and Terms of Use, and Cookie Policy

Copyright ©1996-2014 Global-View. All Rights Reserved.
Hosting and Development by Blue 105