Kenny Fisher | Jun 05, 2018 09:50
The Canadian dollar has posted gains on Tuesday. Currently, USD/CAD is trading at 1.2980, up 0.38% on the day. On the release front, there are key events on both sides of the border. Canada releases Labor Productivity, which is expected to edge up to 0.3%. The U.S. will release ISM Non-Manufacturing PMI, which is expected to improve to 57.9 points. On Wednesday, Canada releases two key events – Trade Balance and Building Permits. As well, Canada releases Ivey PMI.
Canada is the host of the G7 meetings this year, and finance ministers from six countries were united in their criticism of U.S. Treasury Secretary Steve Mnuchin over a brewing trade war. Last week, the Trump administration imposed stiff tariffs on Canada, Mexico and the European Union. Canadian Prime Minister Justin Trudeau tweeted that the tariffs were “unacceptable” and said that Canada would “impose dollar-for-dollar tariffs for every dollar levied against Canadians by the U.S.” Canada will host the G7 leaders, and European leaders have made clear that they want the U.S. tariffs to be high on the agenda. If the trade battle escalates, Canada’s export-reliant economy could take a hit and drag down the Canadian dollar.
The on-again-off-again Korea nuclear summit is back on, complete with a starting time. The much-heralded meeting between U.S. President Donald Trump and North Korean President Kim Jong-un will take place in Singapore on June 12, at 9 a.m. sharp. The summit will mark the first-ever face-to-face meeting between leaders of the U.S.and North Korea, but Trump has tried to lower expectations, saying that he didn’t expect the sides to sign an agreement. Rather, the meeting would mark the start of a process. North Korea is unlikely to agree to denuclearization, but the fact that the two sides are talking is likely to continue boosting the stock markets.
USD/CAD Fundamentals
Tuesday (June 5)
Wednesday (June 6)
*All release times are DST
*Key events are in bold
USD/CAD for Tuesday, June 5, 2018
USD/CAD, June 5 at 7:25 DST
Open: 1.2930 High: 1.2983 Low: 1.2915 Close: 1.2979
USD/CAD Technical
S3 | S2 | S1 | R1 | R2 | R3 |
1.2757 | 1.2850 | 1.2943 | 1.3015 | 1.3125 | 1.3224 |
USD/CAD was flat in the Asian session and has edged higher in European trade
Further levels in both directions:
OANDA’s Open Positions Ratio
USD/CAD ratio is unchanged in the Tuesday session. Currently, long positions have a majority (62%), indicative of USD/CAD continuing to move higher.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.