Weekly Currency Update GBP/CAD - Week ending 12th March
Mar 16th 2010, 10:30 am
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Weekly Currency Update GBP/CAD - Week ending 12th March
Hi All,
As promised here’s a brief update on what’s been happening with the Canadian Dollar over the last week.
The trade surplus swelled last week as we saw a month over month gain of C$700m, leaving the headline number at $800m for the month of Jan. February's employment report was marginally better than expected by 900 jobs as the total number of jobs created was 20,900. The uptick in job creation resulted in a 0.1% decline in the unemployment rate, which now sits at 8.2%.
Overall though it was Carney and his comments which swayed the markets direction as he stated that if the BoC fail to meet their inflation targets they will do something to rectify it. He also suggested the BoC could raise rates whenever they wanted. Although he pointed out that due to the reliance of the domestic economy on its North American neighbours it is likely that until the US growth prospects improve and there is job creation it is unlikely for them to move on monetary policy.
This week look for the manufacturing and retail sales measures to be the event risks.
GBP/CAD movement – High’s & Low’s of last week 8th March – 12th March)
High’s: 1.5616
Low's: 1.5274
A movement of 2.24%
Difference on £200,000
High: CAD 312,320
Low: CAD 305,480
Difference of: CAD 6,840
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
Regards
Mark Bodega
Director - HiFX
As promised here’s a brief update on what’s been happening with the Canadian Dollar over the last week.
The trade surplus swelled last week as we saw a month over month gain of C$700m, leaving the headline number at $800m for the month of Jan. February's employment report was marginally better than expected by 900 jobs as the total number of jobs created was 20,900. The uptick in job creation resulted in a 0.1% decline in the unemployment rate, which now sits at 8.2%.
Overall though it was Carney and his comments which swayed the markets direction as he stated that if the BoC fail to meet their inflation targets they will do something to rectify it. He also suggested the BoC could raise rates whenever they wanted. Although he pointed out that due to the reliance of the domestic economy on its North American neighbours it is likely that until the US growth prospects improve and there is job creation it is unlikely for them to move on monetary policy.
This week look for the manufacturing and retail sales measures to be the event risks.
GBP/CAD movement – High’s & Low’s of last week 8th March – 12th March)
High’s: 1.5616
Low's: 1.5274
A movement of 2.24%
Difference on £200,000
High: CAD 312,320
Low: CAD 305,480
Difference of: CAD 6,840
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
Regards
Mark Bodega
Director - HiFX
