The Canadian Dollar briefly advanced on the US Dollar as local trade began, but the commodity-driven currency went on to shed gains as Stephen Poloz made his first address as Governor of the Bank of Canada.
The Canadian Dollar Exchange Rate was in the region of 0.9666 against the US Dollar as of 15:05 GMT
The ‘Loonie’ advanced on several of its other most traded peers as Poloz, who took over from Mark Carney this month, stated: ‘the gathering momentum in foreign demand should help lift the confidence of Canada’s exporters […] We are now seeing signs of recovery in some important external markets, notably the United States and Japan, and there is continued growth in emerging-market economies.’
Although Poloz intimated that the central bank is in a position to be flexible with its policy decisions he made no direct reference to interest rates.
Unlike his predecessor, Poloz did not mention the ‘excessive’ strength of the Canadian Dollar.
As one economist noted: ‘Since everybody’s getting it at the same time, and we don’t really have anything to work with, there could be some volatility. Nobody has a sense on what sort of central banker he’s going to be.’
The ‘Loonie’ was supported earlier in the day by European Central Bank President Mario Draghi’s comments regarding economic conditions in the Eurozone.
But after hitting a high of 0.9704 against the US Dollar the Canadian Dollar declined (CAD/USD).
Over in the US initial jobless claims rose by 346K, slightly more than expected, as the previous figure was revised to 357K.
However, continuing claims dropped by significantly more than anticipated, coming in at 2952K rather than the 2973K predicted.
The ‘Loonie’ continues to trade higher against its broadly softer Australian and New Zealand counterparts.
All eyes will now be looking ahead to tomorrow, and the publication of US non-farm payrolls figures.
In European news, the Euro and Pound achieved month highs against the US Dollar as the Bank of England and European Central Bank left their benchmark rates unaltered.
Current Canadian Dollar (CAD) Exchange Rates
< Down > Up – Little Changed
The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9666 <
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7362 <
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6258 <
The Canadian Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0191 >
The Canadian Dollar /New Zealand Dollar Exchange Rate is currently in the region of: 1.2114 >
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.5988 >
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0349 >
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.3583 <
The New Zealand Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.8262 <
The Australian Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.9817 <
(Correct as of 15:05 GMT)
Comments are closed.