- January 24, 2018
- Posted by: Joey Benedid
- Category: Market News
The U.S. dollar is broadly weaker after United States Secretary of the Treasury Steve Mnuchin said the U.S. is “open for business” and welcomed a weaker dollar saying that it would benefit the country. Speaking at a press conference during the World Economic Forum being held in Davos he also was quoted as saying the level of the dollar in the short term was “not a concern of ours at all.” GBP & JPY are leading the way with gains of 1.1% & 0.8% against the USD from yesterday’s closing levels.
USD/CAD has sold off accordingly dropping 100 points from yesterday’s close. Comments yesterday regarding progress in NAFTA discussions were largely ignored by the market but are now being viewed in the light of this overall dollar selloff. NAFTA is by no means a done deal and caution remains warranted given the market’s susceptibility to headline volatility. Support currently resides at 1.2325 and 1.2280 with resistance above at 1.2360 & 1.2425.