- December 18, 2018
- Posted by: Joey Benedid
- Category: Market News
Global equities are flat to lower after yesterday’s 500+ point drop in the DOW and the S&P closing at its lowest levels in 18 months. Oil has shed another 2.4% from yesterday’s close after having been down as much as 4% in overnight markets. Oddly the USD is flat to lower against most G7 currencies as many are pondering next steps as the White House & some investment “gurus” give the FED flack for continuing to hike rates. Current wisdom is now looking for a dovish hike from the FOMC tomorrow with expectations that FED Chair Powell will start to scale back rhetoric regarding further hikes in 2019.
USD/CAD is languishing near yearly highs in this backdrop with manufacturing sales data due out at 8:30 AM EST. BoC Governor Poloz hit the airwaves yesterday raising concerns over Sino/US trade wars & Canadian household debt, further alienating those clinging to hopes of a January rate hike in The Great White North. The 1.3425-40 area remains within striking range & a concerted breach will see 1.3500 targeted soon thereafter. Support remain at 1.3315-20.