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
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 |
Upcoming Economic Events that affect the EUR, GBP, CAD and USD
Date |
Currency |
Event |
Forecast |
Previous |
Jun. 03 |
CNY |
49.7 |
||
|
GBP |
0.6% |
1.2% |
|
|
GBP |
10.9% |
10.9% |
|
|
GBP |
60.8 |
||
|
USD |
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