US Dollar Slips on Debate, Inflation Data in Focus; Loonie Holds in Tight Range

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

US Dollar        1.3550-1.3650

Euro                 1.4950-1.5050

Sterling            1.7750-1.7850

WTI Oil (opening level) $66.73

The US Dollar Index is marginally weaker this morning as the dollar slipped slightly on what was a perceived strong showing by Vice President Harris in last nights debate. The focus of the currency markets will now turn to this morning's August US Inflation data and it is expected to show that prices climbed by 0.2% in the month which would be the slowest pace in more than three years. A number better than expected this morning should help stocks and push the dollar lower as this will free the Fed to reduce rates by a quarter point next month.

The Canadian Dollar continues to range trade against the US Dollar and opens the day near the 1.3580 (0.7364) level, in fact I did not have to change any of the expected ranges this morning so the Loonie is very steady at the moment but that should change after today's inflation data.

Stocks had a strong day yesterday but look to give back some gains on the opening this morning. Where they go today all depends on the inflation number but for the most part they should remain positive.