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USD/CAD Fundamental Analysis June 3, 2014 Forecast

By:
Barry Norman
Updated: Aug 23, 2015, 22:00 UTC

Analysis and Recommendations: The USD/CAD gained 13 points as the US dollar added today to trade at 1.0858. The Canadian Dollar plunged lower by around

USD/CAD Fundamental Analysis June 3, 2014 Forecast

USD/CAD Fundamental Analysis June 3, 2014 Forecast
USD/CAD Fundamental Analysis June 3, 2014 Forecast
Analysis and Recommendations:

The USD/CAD gained 13 points as the US dollar added today to trade at 1.0858. The Canadian Dollar plunged lower by around half a cent against as markets digested news that the local economy grew by less-than-anticipated during March. On a yearly basis GDP softened from 2.3% to 2.1% bringing the quarterly figure down from 2.7% to just 1.2%. The commodity-linked ‘Loonie’ was also hurt by a -0.2% contraction in industrial production and a sharp deceleration from 0.7% to 0.1% in an index that measures the price paid for Canadian raw materials.

The dollar index, which tracks the greenback against a basket of six major rivals, edged up about 0.1 percent to 80.445. It remains within sight of Wednesday’s high of 80.581, which was its loftiest peak since early April. A break of its April 4 high of 80.599 would take it to its highest levels since mid-February.

The sustainability of the dollar’s rise depends on whether U.S. Treasuries continue to rally, or whether that trend has ceased. In recent weeks, low U.S. yields have pushed down the greenback, making dollar-denominated investments less attractive.

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 June 2, 2014 actual v. forecast

Time

Cur.

Event

Actual

Forecast

Previous

02:30

  AUD

AIG Manufacturing Index

49.2

 

44.8

 

02:50

  JPY

Capital Spending (YoY)

7.4%

5.7%

4.0%

 

04:30

  AUD

Building Approvals (MoM)

-5.6%

1.8%

-4.8%

 

04:30

  AUD

Company Gross Operating Profits (QoQ)

3.1%

2.6%

2.5%

 

10:15

  EUR

Spanish Manufacturing PMI

52.9

52.9

52.7

 

10:45

  EUR

Italian Manufacturing PMI

53.2

53.7

54.0

 

10:50

  EUR

French Manufacturing PMI

49.6

49.3

49.3

 

10:55

  EUR

German Manufacturing PMI

52.3

52.9

52.9

 

11:00

  EUR

Manufacturing PMI

52.2

52.5

52.5

 

11:30

  GBP

Manufacturing PMI

57.0

57.0

57.3

 

15:00

  EUR

German CPI (MoM)  

 

0.2%

-0.2%

 

17:00

  USD

ISM Manufacturing PMI

 

55.5

54.9

 

 

USDCAD(15 minutes)20140602130439

Upcoming Economic Events that affect the EUR, GBP, CAD and USD

Date

Currency

Event

Forecast

Previous

Jun. 03 

CNY

Chinese HSBC Manufacturing PMI 

 

49.7

 

GBP

Nationwide HPI (MoM) 

0.6%

1.2%

 

GBP

Nationwide HPI (YoY) 

10.9%

10.9%

 

GBP

Construction PMI 

 

60.8

 

USD

Factory Orders (MoM) 

0.2%

0.9%

Government Bond Auction

Date Time Country 

Jun 03 00:30 Japan

Jun 03 09:15 Austria

Jun 03 09:30 Belgium

Jun 03 09:30 UK

Jun 03 14:30 UK

Jun 04 09:03 Sweden

Jun 04 09:30 Germany

Jun 04 10:00 Norway

Jun 05 00:30 Japan

Jun 05 08:30 Spain

Jun 05 08:50 France

Jun 05 13:20 Sweden 

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