USD/CAD climbs to daily highs above 1.3330 as WTI loses traction

After spending the large portion of the day moving sideways a little above the 1.33 mark, the USD/CAD pair edged higher in the last couple of hours as  |  09/10/2019 20:09
  • Crude oil prices turned south to weigh on the commodity-sensitive CAD.
  • The Fed's meeting minutes failed to deliver any surprises. 
  • US Dollar Index stays flat on the day above the 99 handle.

After spending the large portion of the day moving sideways a little above the 1.33 mark, the USD/CAD pair edged higher in the last couple of hours as the commodity-sensitive Loonie weakened on falling crude oil prices. As of writing, the pair was up 0.06% on the day at 1.3332.

Although heightened hopes of the United States and China reaching a partial trade deal later this week and escalating tensions in the Middle East following Turkey's launch of a military operation into northeast Syria helped crude oil prices rise today, the barrel of West Texas Intermediate erased a large portion of its daily gains after the United States (US) Energy Information Administration (EIA) reported a larger-than-expected buildup in crude oil stocks. As of writing, the WTI was up 0.5% at $52.80.

US Dollar Index stays in a consolidation phase

In the meantime, in the minutes of its September 17-18 monetary policy meeting, the Federal Open Market Committee's (FOMC) noted that most policymakers believed that a 25 basis points rate cut was needed and pointed to the economic outlook, risk management and inflation objectives.

"Several policymakers favoured keeping rates steady, saying baseline economic projection had changed very little and that uncertainties would not derail the expansion," the FOMC said in its publication but failed to trigger a meaningful market reaction with the US Dollar Index staying flat on the day at 99.12.

On Thursday, the US economic docket will feature the Consumer Price Index (CPI) data, which is expected to tick up to 1.8% on a yearly basis in September.

Technical levels to watch for

 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on finance
and other asset classes for Market Insight viewers

Back

Login to Market Insight Account

Your Market Insight account gives you access to the tools that we offer our customers including our
Technical Studies & Sentiment for your accounts.

Forgot Password?

Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

Create a Market Insight's Account

Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

register_ty

Thank you!

Welcome to Market Insight family!

You have succesfully completed the registration.
We will send you an e-mail to give you some
instructions and our Terms and Conditions!
Our account representatives will be contacting you as
soon as possible. If you have any further questions
please do not hesitate to mail us via info@marketinsight.com