USD/CAD Fundamental Forecast – May 30, 2016

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Published: May 27, 2016, 10:59 UTC

The USD/CAD gained 62 points to 1.3042 as the greenback recovered and gold and oil both traded in the red. The dollar traded near an almost two-month high

The USD/CAD gained 62 points to 1.3042 as the greenback recovered and gold and oil both traded in the red. The dollar traded near an almost two-month high as speculation mounted that interest-rate increases are ahead for the U.S. The U.S. currency paused after its best streak of weekly gains since January, as San Francisco Federal Reserve President John Williams said he sees two or three rate increases in 2016, adding to a string of pro-tightening commentary from policy makers. The greenback advanced against its Canadian peer as JPMorgan Chase & Co. said it was adding bets on the U.S. dollar versus the so-called loonie. Currency traders are reassessing the outlook for higher rates in the U.S. after Fed officials reinforced the message of minutes from the central bank’s April meeting, namely that a June hike is possible. The Fed is weighing how to raise rates with minimal market disruption, after its first-in-a-decade increase in December.

FxEmpire provides in-depth analysis for each asset we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports, which covers the current week and are published by Sunday before the new week begins. Daily we share any new events, forecasts or analysis that affect the current day. To achieve a full accurate understanding it is important that you study all of our data and analysis as a whole.

Upcoming Economic Events that you should be monitoring:

Monday, May 30, 2016

Cur.	Event	Actual	Forecast	Previous
	United Kingdom – May Bank Holiday
	United States – Memorial Day
JPY	Retail Sales (YoY) (Apr)			-1.1%
AUD	HIA New Home Sales (MoM) (Apr)			8.9%
AUD	Company Gross Operating Profits			-2.8%
CAD	Current Account (Q1)			-15.4B
CAD	RMPI (MoM) (Apr)			4.5%