Stocks grow - US Dollar falls. Investors are being optimistic about the US economy rebound

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

US Dollar         1.2900-1.3000

Euro                 1.5475-1.5575

Sterling            1.7250-1.7350

The US Dollar index is marginally weaker this morning as more positive vaccine news and a surprising turn events with the US stimulus program have all increased investor optimism and pushed the Greenback lower. In the UK, one of the vaccines have been given final approval and it will only be weeks before people in the UK start to get the first shots, in the US a bi-partisan group of law makers have floated a 900+Billion stimulus bill that has some support and could get passed before the end of the year.

USD.CAD continues to range trade and we see the currency pair open the day at the 1.2950 (0.7722) level with little overall direction at the moment. The GDP report showed the economy grew 40.5% in the third quarter but it did come in a little below expectation so the Loonie was not able to extend any gains. The economy is still below pre-Covid levels so we have a long way to go.

Nothing of note on the calendar today, stock markets are pointing lower on the opening but if Congress can move forward on a stimulus program then we should see them move higher throughout the day and the Loonie may strengthen a little more.