Stocks Build Momentum as Markets Await Key US Data; USD Holds Steady

Today's expected range for the Canadian Dollar against the major currencies:

US Dollar        1.3700-1.3800

Euro                 1.4950-1.5050

Sterling            1.7500-1.7600

WTI Oil (opening level) $78.16

The US Dollar index is marginally stronger and stocks continue their recovery in a what was a quiet session yesterday and an overall quiet start to the week. Markets have pretty much digested that US employment is not falling off a cliff and a recession in the states is very much in doubt, everything will still depend on what the Fed says and does in September.

USD.CAD continues to range trade between the 1.3700 and 1.3800 levels as it awaits its next move, the Loonie has lost a little ground to the other currencies but overall our dollar is hanging tough for the moment.

Stocks continue to build off their momentum from last week and had another strong day yesterday, they are poised for a flat opening as the market awaits the report on what Producer Prices did last month and then the all important US July inflation report which will be released tomorrow. The Loonie and Dollar should remain steady ahead of both of those releases.