- December 11, 2018
- Posted by: Joey Benedid
- Category: Market News
The U.S. dollar benefitted yesterday from Brexit concerns and lower oil/equities but has consolidated today after posting an outside day on the charts. Sterling’s future is very shaky with a possible no deal Brexit weighing heavily on the currency. U.S. PPI & CPI releases today and tomorrow will catch the market’s eye with ever increasing chatter becoming prevalent regarding concern as to how many times the FED will hike next year. The market still has 4 moves higher priced in but some are beginning to speculate there may be 2 or less.
USD/CAD remains near the top of its recent range in this backdrop with players seemingly content to sell CAD in nearly all scenarios. There are sell orders all the way up to 1.3500 so it may be tough sledding to see us trade above that level but with recent volatility and many global concerns on the collective market’s mind we cannot rule out further USD strength. Broad ranges should be bound by 1.3180-1.3514 in the short term.