It’s high time for US Dollar buyers as USD.CAD shows the lowest level since June

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

US Dollar        1.3150-1.3250

Euro                1.4600-1.4700

Sterling           1.6800-1.6900

WTI Oil (opening level) $75.16

Just a quick update as trading this week will be subdued as most financial institutions will be running reduced staffing levels.

The US Dollar index traded weaker yesterday as stocks again rose on the expectation that the US Federal Reserve will begin cutting interest rates next year. It looks like the US Dollar will close the year near a five-month low, clearly this trend will continue into 2024.

USD.CAD opens the day near the 1.3200 (0.7576) level which is the currency pairs lowest level since June of this year. Again, I would council US Dollar buyers to take some advantage of these rates as this strength in the Loonie is a still a result of overall weakness in the US Dollar and not any great strides from the Canadian Dollar or the Canadian economy.

Canadian stocks should play a bit of catch up today but for the moment US markets are pointing lower on the opening, fears of an escalation of the Middle East conflict to include the US may put a damper on any gains over the next couple of days but for the moment the US Dollar should continue to trade weaker.