Friday, October 10, 2014

Canadian dollar is slightly higher Friday

Canadian dollar is slightly higher Friday after rallying sharply in response to unexpectedly robust jobs data for September.
The rally took the Canadian currency off its session low, but a subsequent retracement of some of its gains left it only slightly higher than Thursday's close.
The U.S. dollar was last at C$1.1184, from C$1.1185 at Thursday's close, according to data provider CQG.
The U.S. unit had climbed to C$1.1208 just before the data's release and tumbled to a session low at C$1.1159 afterwards before recovering somewhat.
Statistics Canada reported the economy created 74,100 net new jobs--the most since May 2013--and the jobless rate fell by 0.2 percentage points to 6.8%.
The gains were predominantly in full-time work, where 69,300 positions were filled, the most since March 2012. The number of part-time jobs rose 4,800.
Market expectations had been for a 20,000 job gain, and a steady jobless rate of 7.0%, according to a report from Royal Bank of Canada.
The private sector added 123,600 jobs in September, wiping out a record decline in the prior month, StatsCan reported.
While the data were strong enough to provoke an immediate strengthening in the Canadian dollar, the volatility in Canada's labor force has resulted in caution among economists, who warn against attaching too much significance to monthly fluctuations in the report.

Thursday, October 9, 2014

USD/CHF Daily

USD/CHF  Daily
13::45 GMT -Recovery is underway after the mkt. bottomed out near  0.9470. Close res. is now at the day high at 0.9532 closely followed  by 0.9550/55. Below 0.9470 next target sup. is at 0.9449/56.N.I.
R5: 0.9635  intraday level
R4: 0.9624 * Tues high
R3: 0.9600  Wed high
R2: 0.9550/55  recent lows
R1: 0.9532  today high
S1: 0.9470  today low
S2: 0.9449/56 * 25/6 Sep lows
S3: 0.9420  break area
S4: 0.9400  intraday level

Britain’s economy slowed in the third quarter

Britain’s economy slowed in the third quarter of this year, according to a survey by the British Chambers of Commerce (BCC), which could raise concerns for the U.K.’s future economic growth rate.
The business lobby group’s Quarterly Economic Survey, contributed to by nearly 8,000 businesses, showed that manufacturing and export balances had fallen in the third quarter.
“The strong upsurge in U.K. manufacturing at the start of the year appears to have run its course.” John Longworth, Director General of the BCC said in a statement. “We may be hearing the first alarm bell for the U.K. economy, but this not need be the case.”

Wednesday, October 8, 2014

Canadian dollar is steady on Wednesday

The Canadian dollar is steady on Wednesday. Early in the North American session, USD/CAD is trading in the high-1.11 range. On the release front, Canadian Housing Starts rose slightly to 197 thousand. Over in the US, todays highlight is the minutes of the FOMC most recent policy meeting. Traders should treat this event as a market-mover.
Canadian Housing Starts continued to post solid numbers in September. The indicator rose to 197 thousand, up from 192 thousand a month earlier. This was within markets expectations, as the estimate stood at 195 thousand. Earlier in the week, Building Permits took a plunge. This key release often displays strong volatility, and this was indeed the case in the August reading, as the key indicator came in at -27.3%. This follows three months of strong gains. There was much better news on Monday, as Ivey PMI improved to 58.6 points, up sharply from 50.9 points a month earlier. The strong reading easily beat the estimate of 53.4, as the index hit its highest level in 11 months.

Gold continues to move higher

Gold continues to move higher on Friday, as the spot price is at $1217.71 per ounce in the European session. The metal has taken advantage of the US dollar losing ground this week and has recovered all of Friday’s sharp losses. In the US, today’s highlight is the minutes of the FOMC’s most recent policy meeting. Traders should treat this event as a market-mover.

Tuesday, October 7, 2014

Gold’s drop to 15-month lows

Gold’s drop to 15-month lows may be timely for Asian buyers, but even an army of discount-hungry Indian matriarchs won’t be enough to arrest the precious metal’s slide in the fourth quarter amid the onslaught of the resurgent dollar, a CNBC survey of strategists and traders showed.
Almost two-thirds of respondents said gold has scope to fall further in the final quarter pressured by a surging U.S. dollar, while 35 percent believe the selling is overdone and prices will recover towards year-end as Asian physical demand returns.
“The death of the Asian gold market is greatly exaggerated,” Mark O’Byrne, Founder and Executive Director of Dublin-based bullion dealer GoldCore, told CNBC in emailed comments. “Asian buyers have already begun coming back to the market and the latest data shows demand in India has picked up markedly and Chinese demand remains robust.”

Monday, October 6, 2014

Australian dollar has posted gains on Monday, as AUD/USD

The Australian dollar has posted gains on Monday, as AUD/USD is trading in the low-0.87 range. The Aussie posted sharp losses on Friday, losing over 100 points and dipping into 0.86 territory. On the release front, ANZ Job Advertisements, an important employment indicator, posted a solid gain of 0.9% last month. MI Inflation Gauge continues to post weak numbers, posting a gain of 0.1%. AIG Construction Index will be released later in the day. There are no US releases on Monday.
Early on Tuesday, the RBA will be in the spotlight. The Cash Rate is expected to remain at 2.50%, where it has been pegged since July 2013. The RBA has often stated that the Aussie is overvalued and weighing on a recovery, but the currency has lost some 500 points since the last RBA statement in September.