Lagging Loonie
Calm returned to markets on Tuesday and the greenback has recovered all the ground lost since the start of the week. Impressive economic indicators, including Consumer Confidence and Home Prices, which are up 5%, have helped buttress the USD. Naturally, this rally has further weighed down the loonie, which fell through the 1.33 threshold, the target of our Chief Economist and Strategist Stéphane Marion. The next stop in his opinion: 1.35 by Q1 2016.
U.S. Durable Goods Orders for July will be announced this morning at 8:30 and we are expecting a downturn of 0.4% due to the Aeronautics sector, which could see a decline after an impressive 8.9% jump in June.
Lastly, National Bank has just announced its third quarter results, with earnings per share of $1.25, beating analysts’ expectations of $1.19. National Bank shares, which hit a 52-week low in Monday’s market meltdown, should perform well today.
