Dollar's decline slowed in Asian session today, but remains generally weak, in particular against European majors. Though, indecisive risk sentiment is somehow limiting upside in commodity currencies, with Canadian Dollar following oil prices lower today. There is prospect of more volatility in the markets today, with consumer inflation data from UK and Canada featured. FOMC minutes will also catch some attention. Technically, Canadian crosses could be worth a note today as the Loonie has lost much upside momentum recently. EUR/CAD recovered after hitting 1.4580. Break of 1.4785 resistance will suggest short term bottoming and bring stronger rebound back to 55 day EMA at 1.4917. GBP/CAD is also eyeing 1.7176 support turned resistance and firm break there should confirm short term bottoming too. Nevertheless, the developments could very much depend on the Canadian inflation data, and the reactions today. In Asia, at the time of writing, Nikkei is down -1.40%. Hong Kong is on holiday. China Shanghai SSE is down -0.33%. Singapore Strait Times is down -0.46%. Japan 10-year JGB yield is down -0.0043 at 0.076. Overnight, DOW dropped -0.78%. S&P 500 dropped -0.85%. NASDAQ dropped -0.56%. 10-year yield rose 0.002 to 1.642. |
