22 Jan 2014
Flash: Today is an important milestone for USDCAD - BMO Capital
FXstreet.com (Bali) - According to Stephen Gallo, European Head of Currency Strategy at BMO Capital,
Key Quotes
"The push above 1.100 in USDCAD this morning in London felt like a combination of USD strength and CAD weakness occurring simultaneously."
"The trigger seemed to be USD demand throughout the London morning, and the extent to which the market is already short of the CAD has probably acted as a break on CAD weakness a bit.Some participants are probably being cautious about slapping new exposures on ahead of tomorrow and the rest of the week."
"Within 1.100-1.105, we’d be mindful of CAD covering from some nervous pre-BoC shorts, and potential exporter demand for CAD as well. However, for the broader medium-term picture, today is an important milestone for USDCAD."
Key Quotes
"The push above 1.100 in USDCAD this morning in London felt like a combination of USD strength and CAD weakness occurring simultaneously."
"The trigger seemed to be USD demand throughout the London morning, and the extent to which the market is already short of the CAD has probably acted as a break on CAD weakness a bit.Some participants are probably being cautious about slapping new exposures on ahead of tomorrow and the rest of the week."
"Within 1.100-1.105, we’d be mindful of CAD covering from some nervous pre-BoC shorts, and potential exporter demand for CAD as well. However, for the broader medium-term picture, today is an important milestone for USDCAD."