The very recent rise in oil prices due to the upcoming OPEC meeting which had helped to lift commodity-linked currencies like the Aussie and Kiwi Dollars as well as the Canadian Dollar is already fading. Recent upbeat data from China also offered support to the antipodean currencies and generally weakened the Yen and the Euro. Meanwhile, the US Dollar hit a 1-week peak versus the Euro, up nearly a half percent.
As reported at 10:56 am (BST) in London, the AUD/USD was trading at $0.7671, down 0.15% while the NZD/USD was trading slightly higher at $0.6923, up 0.06%. The USD/CAD was up 0.28% at $1.2803; the pair has ranged from a low of $1.2751 to a peak of $1.2814. The EUR/USD was trading at $1.1313, down 0.63% while the USD/JPY was trading at 109.1930 Yen, up 0.56%.
Bank of Canada Decision Looms CAD
The Canadian Loonie could see some volatility today as the Bank of Canada is set to deliver its latest interest rate decision. Analysts recently polled have agreed that the BOC is likely to leave rates at the current 0.50%. What will be more important is the country’s economic forecast, especially given the recent appreciation of the Canadian Loonie. Markets will be wary of any attempts by the BOC Governor, Stephen Poloz, to talk down the currency.