Friday September 15, 2006 - 10:35:59 GMT
Share This Story
Black Swan Capital - www.blackswantrading.com
Crude and the C$
â€˘ The way the world adapts to slowing US growth is a key issue for the global economy, the International Monetary Fund (IMF) head has said. (BBC)
â€˘ Key Reports (WSJ):
8:30a.m. Aug Consumer Price Index. Previous: +0.4%.
8:30a.m. Aug Consumer Price Index, Ex-Food & Energy. Previous: +0.2%
8:30a.m. Sept NY Fed Manufacturing Index. Previous: 10.34.
9:15a.m. Aug Industrial Production. Previous: +0.4%.
9:15a.m. Aug Capacity Utilization. Previous: 82.4%.
9:45a.m. Mid-Sept. U Of Mich Consumer Sentiment. Previous: 82.0.
"I knew I was going to take the wrong train, so I left early."
FX Trading â€“ Oil and the Canadian $
They pair has been fairly tightly linked on the way up, but the C$ is holing firm as oil corrects.
CHART - Correlation C$ and Crude
If the market expectation swings from A) Mr. US Consumer is heading into the tank because of housing and â€śtoo muchâ€ť leverage, to B) Hey, Mr. US Consumer seems to be holding up pretty well and his pending death was once again exaggerated, then maybe C) The dollar gets a little boost on the change in expectations, at least over the near-term.
And if the $ gets a sentiment boost and crude continues to fall as the conversion flow on energy swings from out right dogmatic bullish (read Peak Oil crowd) to reality neutral or bearish, then the comdols, C$ and Aussie, might be vulnerable.
But then again, we have US CPI at 8:30 a.m. EST and the G-7 waiting in the wings.
Jack Crooks, Black Swan Capital Black Swan Subscription-based Service
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."