Monday September 13, 2010 - 20:24:30 GMT
Share This Story
Reuters - www.reuters.com
Forex News - Refile - CANADA FX DEBT-C$ up on China data, bank capital rules
* C$ higher at 97.14 U.S. cents
* Bonds lower across curve on rising risk appetite
* Eyes on Canada central bankers, U.S. data this week
(Repeats to additional subscribers with no change to headlines
By Jennifer Kwan
TORONTO, Sept 13 (Reuters) - The Canadian dollar shot
higher against the U.S. currency on Monday as upbeat Chinese
data and relief about the impact of new global banking
regulations lifted investor appetite for riskier assets.
Strong China data including factory and money growth
figures showed that the economy remained buoyant despite
government efforts to clamp down on bank lending and property
"We have risk appetite that's increased since China
released its data," said Camilla Sutton, currency strategist at
"I think that's reassured the market for the outlook for
global growth and that's good news for Canada."
As well, global regulators agreed on the weekend to force
banks to more than triple the amount of top-quality capital
they must hold in reserve, easing investor worries about the
health of the global financial sector and boosting equity
At 7:49 a.m. (1149 GMT), the Canadian dollar was at
C$1.0294 to the U.S. dollar, or 97.14 U.S. cents, up from
C$1.351 to the U.S. dollar, or 96.61 U.S. cents at Friday's
Also helping investor optimism was a forecast upgrade by
the European Commission for the euro zone and broader European
Together, those factors helped to lift the price of oil, a
key Canadian export, above $77 a barrel [O/R].
Sutton said focus this week will be speeches by Bank of
Canada Governor Mark Carney, as well as Deputy Governor Timothy
Lane. In the U.S., data of key interest includes retail sales
and inflation figures. [ECONUS]
Key technical levels to focus on going forward include
support at around C$1.0288 to the U.S. dollar, while resistance
is around the 200-day moving average of C$1.0383, said Sutton.
Canadian bond prices were lower across the curve, tracking
U.S. Treasury prices that sank in Europe on Monday on optimism
about economic recovery. [US/]
The two-year Canada bond was 6 Canadian cents lower to
yield 1.491 percent, while the 10-year bond sank 35 Canadian
cents to yield 3.140 percent.
(Reporting by Jennifer Kwan; Editing by Theodore d'Afflisio)
Â© 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
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
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."