Tuesday, March 25, 2014

Canadian dollar

The Canadian dollar has been confined to a narrow range so far this week, but lost considerable ground last week after remarks from Bank of Canada Governor Stephen Poloz that suggested a dovish coloring to the Bank's neutral policy stance.
Indications from the U.S. Federal Reserve's policy statement last Wednesday that it could reduce monetary stimulus more rapidly than previously expected also rattled the Canadian currency.
Scotia said it expects Canadian-dollar weakness will continue in the near term as bearish sentiment, driven by relative central-bank outlooks, puts downside pressure on the currency.
It puts resistance for the U.S. dollar at C$1.1175 and resistance at C$1.1237.