Navigate Up
Sign In

ECB leaves rates unchanged

Posted on: March 09, 2017

After starting the week slow, USDCAD embarked on a steady grind higher yesterday, touching 1.3500 before relaxing a bit into the New York close. The theme for some participants was buy the USD against any cross they will give you. CAD and other commodity currencies were under additional pressure as oil broke out of its recent range to the downside. “Buy the rumor, sell the fact” is a popular term, but can you still call it a rumor when the March rate hike is 100% priced in? We will see next week if the adage holds true.

This morning we have the first half of consecutive risk events, as the ECB left rates unchanged and Draghi is about to hit the tapes as I type this. We will see if he makes any comments on the recent upticks in CPI. Tomorrow is the second half, with Non-Farm Payrolls in the US and Canada. ADP numbers in the US showed a huge beat yesterday, printing 298k compared to expectations of 187k, which helped spur USD buying on predictions of favorable employment numbers. Predicting what the Canadian Employment report will say is kind of like trying to forecast the weather with a spoon, but estimates are calling for a net reduction of five thousand jobs.

For those watching USDCAD, we have broken through 1.3500 this morning. Key levels to watch now sit up above around 1.3590/1.36, which is the double top from late 2016. If you have USD to sell it might be prudent to unload a portion ahead of this level as it has proven tough to crack. If 1.3300 and 1.3400 are still acceptable, a collar with protection at those levels will give you further upside in case momentum carries USDCAD through 1.3600 with conviction.

  • Yesterday’s NA Range 1.3440 – 1.3500
  • Asia Overnight Range 1.3483 – 1.3505
  • London Overnight Range 1.3484 – 1.3534


Most Recent Market Updates

November 20, 2017

Natural gas gains 4.4 cents

NYMEX natural gas climbed 4.4 cents higher on Friday.

November 20, 2017

Crude gained $1.41

Crude prompt futures gained $1.41 on Friday to close the day at $56.55.

November 17, 2017

Natural gas falls 2.7 cents

NYMEX natural gas continued it’s decent on Thursday.

November 17, 2017

Crude prices slide $0.19

Crude prompt futures traded in a 69 cent range.

November 17, 2017

USDCAD range bound as Canadian CPI uneventful

Domestically we saw the biggest release of the week a few minutes ago.

November 14, 2017

Natural gas loses 5 cents

Cold weather emerged over the long weekend in the US Midwest to East as anticipated.


Talk to a specialist

GlassdooreSSENTIAL Accessibility™Diversity and Inclusion

About ATB | Contact Us | Find a Branch or ABM | Current Rates | Privacy and Security | Legal | Code of Conduct | Site Map | Supplier Resources

2018 ATB Financial. All rights reserved. ©ATB Financial is a trade name/registered trademark.

ATB Financial