USD/CAD Fundamental Analysis December 4, 2013 Forecast

Analysis and Recommendations:

The USD/CAD climbed by 3 points today as the US dollar eased against most of its trading partners. The CAD is still hurting over the drop in crude oil prices and the decline of the spread against Alberta oil compounded by the hard drop in gold. The CAD is trading at 1.0646 today as the US session begins. Investors otherwise remained fixated on Federal Reserve’s plans for winding down the stimulus program that has helped drive this year’s huge rally in global risk assets.

U.S. 10-year Treasury yields, the benchmark for the world’s borrowing costs, were hovering just under the high of 2.8 percent they hit on Monday after global data signaled world growth was still gathering steam. The U.S. Institute for Supply Management’s index of national factory activity rose in November to its best showing since April 2011. Hiring has also accelerated.

Friday’s nonfarm payrolls report is expected to offer more clues as to when the Fed will start reducing its monthly $85 billion bond purchases.

FxEmpire provides in-depth analysis for each currency and commodity 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.

Economic Data December 3, 2013 actual v. forecast

 

Upcoming Economic Events that affect the CAD and USD

Government Bond Auction

Date Time Country 

Dec 04 10:30 Germany

Dec 04 10:30 Portugal

Dec 04 15:30 Sweden

Dec 05 09:30 Spain

Dec 05 09:50 France

Dec 05 10:10 Sweden

Dec 05 12:00 Norway

Dec 05 16:00 US

Dec 06 16:30 Italy