Canadian dollar takes advantage of a weaker USD index

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

US Dollar             1.2800-1.2900

Euro                     1.2950-1.3050

Sterling                1.5500-1.5600

WTI Oil (opening level) $96.60

The US Dollar index is recovering from a down day yesterday as negative sentiment out of the Euro Zone helped pushed the Greenback higher this morning. Yesterday the US Dollar traded much weaker as the US Federal Reserve as expected increased interest rates by 0.75% but the currency markets focused on Chair Powell's comments that the Fed did not see the US economy going into recession and that they may start to slow the pace of interest rate hikes going forward.

The Canadian Dollar was able to take advantage of the weaker US Dollar yesterday as USD.CAD fell to trade at 1.2800 (0.7813) early this morning before giving back some gains as the US Dollar recovered. The Loonie held onto its strength against the other currencies so momentum remains with the Loonie for now.