Before the release of Canada’s Ivey PMI data the ‘Loonie’ was struggling as the unresolved political situation in the US contributed to the price of oil tumbling. However, while the commodity-driven asset stumbled against the majority of its most traded peers, it was little changed against a softer Pound and slightly stronger against the US Dollar.
The Canadian Dollar Exchange Rate was in the region of 0.6029 against the British Pound as of 15:20 GMT
Sterling slipped during the local session on speculation that the asset’s recent rally had been excessive and lost ground against its Canadian counterpart.
Although markets had braced themselves for the publication of US non-farm payrolls figures (one of the nation’s most influential data releases) the stalemate in the US meant that the report couldn’t be released, and currency volatility has been a little restrained as a result.
However, Toronto-based strategist Camilla Sutton said of the Canadian Dollar’s movement; ‘The overall growth impact of the US government shutdown is a factor. The pricing of oil has moved against the Canadian Dollar. Not so much because of the level of WTI, but because there’s been a widening in the spread between Brent and Western Canadian Select.’
The CAD/GBP exchange rate hit a low of 0.5978
The ‘Loonie’ was also adversely affected by the news that Canada’s seasonally adjusted Ivey Purchasing Managers Index rose by less than forecast in September, climbing from 51.0 to 51.9 instead of surging to 51.9 as expected.
Canadian data to watch out for next week includes domestic building permits, housing starts, the new housing price index and employment figures.
Economists have forecast that the Canadian unemployment rate held at 7.1 per cent in September after adding 15,000 positions. A surprising result could trigger CAD movement.
The Bank of England’s rate decision will also be influential to the CAD/GBP pairing.
Current Canadian Dollar (CAD) Exchange Rates:
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The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9683 >
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7130 >
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6029 >
The Canadian Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0267 <
The Canadian Dollar /New Zealand Dollar Exchange Rate is currently in the region of: 1.1691 >
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.6583 <
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0323 <
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.4032 >
The New Zealand Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.8571 >
The Australian Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.9740 >
(Correct as of 15:20 GMT)
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