Dollar Holds Steady as Markets Await Fed News, Loonie Stable Amidst Retail Sales Report, Tech Sector in Focus

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

US Dollar        1.3650-1.3750

Euro                 1.4575-1.4675

Sterling            1.6950-1.7050

WTI Oil (opening level) $82.70

The US Dollar index is marginally stronger this morning in a quiet overnight session. The Dollar recovered from a weaker Tuesday session as it gave back some strength in the face of stronger than expected economic performance out of the EU market. But once again these were very small moves and the bias still exists for a stronger dollar and will so until we hear definite news from the Fed that they are cutting interest rates.

The Loonie was able to make some small gains overnight but continues to range trade as USD.CAD opens the day near the 1.3680 (0.7310) level. We get a look today into the Canadian economy with the release of the latest Retail Sales Report for February, the expectation is that sales grew 0.1% in the month. It will be nice to see a positive report but I doubt it will move the Loonie, on the other hand if the report comes in negative then it will weaken our dollar.

After another strong day yesterday for stocks and they are poised this morning for a flat opening despite the tech sector still reporting poor results. The market gets a look at the US economy in the form of US Durable Goods but that too is unlikely to move the market much, look for more range trading for the Dollar as we await tomorrow's US GDP report.