CAD Continues to Surge to Open the Morning

Posted by Joshua Schlebach on 7/21/20 9:41 AM

The CAD has continued to make solid gains through the overnight session and into the North American open today.  Fundamentals were less than stellar but the Loonie is benefiting from a risk on sentiment throughout markets as well as hopes for a Covid vaccine.  Core Retails Sales numbers missed the mark coming in at 10.6% vs. the expected 11.9%, while Retail Sales also reported under the 20.2% forecast at 18.7%.  Second tier NHPI was at 0.1% vs. 0.2%.

The USD hold onto its soft undertone with EUR strength taking the forefront in the midst of a recovery Eurozone package being finalized.  No fundamentals again stateside is leaving the USD to trade on the overall market mood and risk sentiment.

The Euro is trading sideways and virtually unchanged even with a finalization of the Eurozone recovery package.  The deal is worth 750B EUR and is split between 390B EUR in grants and 360B EUR in low-interest loans.  Further gains are expected as the EUR is still on a convincing track upwards.

Equities

Equities are mostly up this morning: the Dow up 1.25%, the S&P up 0.55%, NASDAQ down 0.18% and the TSX up 0.44%.  Crude Oil is up 3.31% this morning ($42.16) while Gold is also up 1.20% ($1,839.63).

Dow

1.25%

S&P

0.55%

NASDAQ

0.18%

 

 

 

TSX

0.44%

Crude Oil

3.31% ($42.16)

Gold

1.20% ($1,839.63)

Topics: Market Update