USD/CAD continues to edge lower toward 1

USD/CAD continues to edge lower toward 1.3100 ahead of FOMC

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  • USD/CAD remains under modest bearish pressure on Thursday.
  • US Dollar Index slumps below 93.00 ahead of FOMC.
  • WTI stages technical correction following a three-day rally.

Following a spike to 1.3300 on Thursday, the USDCAD pair shut for all intents and purposes unaltered at 1.3140 and began to edge lower on Thursday. As of composing, the pair was down 0.17% consistently at 1.3115.

USD battles to discover request in the midst of cheery state of mind

The expansive put together USD shortcoming with respect to Thursday is permitting the bearish tension on USD/CAD to stay flawless. With speculators hanging tight for political race results from landmark states, for example, Pennsylvania, Nevada and Georgia, hazard streams keep on overwhelming the budgetary business sectors. Right now, the S&P 500 fates are up almost 2% on the day and the US Dollar Index is losing 0.63% at 92.88.

In the interim, the barrel of West Texas Intermediate (WTI), which picked up almost 9% in the initial three days of the week, is down 1% on Thursday, helping as far as possible its drawback for now.

Later in the day, the US Department of Labor will distribute its week by week Initial Jobless Claims information. All the more significantly, the FOMC will report its Interest Rate Decision and delivery the Monetary Policy Statement.

Reviewing the FOMC meeting, TD Securities investigators noticed that they don’t anticipate any new approach declarations. “Changes to the phrasing of the assertion are probably going to be minimal but expected changes to the QE program and related direction will probably be examined,” experts added. “FX markets are bound to be worried about the outcome of the US political decision than the Fed.”

Technical levels to watch for

Credit: FX Street

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