Analysis and Recommendations: The USD/CAD tumbled 68 points to trade at 1.1098 as the dollar eased ahead of the ECB meeting and tomorrow’s Nonfarm payroll
The USD/CAD tumbled 68 points to trade at 1.1098 as the dollar eased ahead of the ECB meeting and tomorrow’s Nonfarm payroll report. The strengthening dollar is having a multi-pronged impact on the Canadian economy, along with capital outflow and a weaker yen that are both poised to pick up speed, economists and analysts said Thursday.
Economists expect the central bank to cut the benchmark interest rate by 0.25 percent to 1.75 percent this month and by another 0.25 percent in November or December to support the export-oriented economy. Traders expected the dollar to remain strong against major currencies because the U.S. Federal Reserve was widely expected to raise the interest rate in the second quarter of next year after wrapping up its quantitative easing programs this month.
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.
Today’s economic releases actual vs. forecast:
|
Cur. |
Event |
Actual |
Forecast |
Previous |
||
|
AUD |
Building Approvals |
3.0% |
1.0% |
2.1% |
||
|
AUD |
Trade Balance |
-0.787B |
-0.700B |
-1.075B |
||
|
EUR |
Spanish Unemployment |
19.7K |
31.3K |
8.1K |
|
|
|
GBP |
Construction PMI (Sep) |
64.2 |
63.5 |
64.0 |
|
|
|
EUR |
Interest Rate Decision |
|
0.05% |
0.05% |
|
|
|
USD |
Initial Jobless Claims |
|
297K |
293K |
|
|
|
EUR |
ECB Press Conference |
|
|
|
|
|
|
USD |
Factory Orders (MoM) |
|
-9.3% |
10.5% |
Upcoming Economic Events that you should be monitoring:
|
Cur. |
Event |
Actual |
Forecast |
Previous |
||
|
GBP |
Services PMI (Sep) |
|
59.1 |
60.5 |
|
|
|
USD |
Nonfarm Payrolls (Sep) |
|
215K |
142K |
|
|
|
USD |
Unemployment Rate |
|
6.1% |
6.1% |
|
|
|
USD |
ISM Non-Mfg. PMI |
|
58.5 |
59.6 |
Government Bond Auction
Date Time Country Auction
Oct 02 08:30 Spain Auctions 1.4% Jan 2020 & 2.75% Oct 2024 Obligations
Oct 02 08:50 France Eur 7-8bn 1.75% May 2023, 1.75% Nov 2024 & 2.75% Oct 2027
Oct 02 15:00 US Announces details of 3/10Y Note & 30Y bond auctions on Oct
Oct 07 06:00 Swiss Announces details of optional bond auction on Oct 08
Oct 07 09:00 Norway Bond auction
Oct 07 09:15 Austria RAGB auction
Oct 07 9:30 UK Auctions 3.5% 2045 Gilt
Oct 07 15:30 Italy Announces details of BOT auction on Oct 10
Oct 07 17:00 US 3Y Note auction
Oct 08 09:30 Germany Eur 4.0bn Oct 2019 Bobl auction
Oct 08 09:30 Swiss Bond auction (for decision)
Oct 08 15:30 Italy Announces details of BTP
Oct 08 17:00 US 10Y Note auction
Oct 09 09:03 Sweden I/L bond auction
Oct 09 17:00 US 30Y bond auction
Oct 10 09:10 Italy BOT auction