Lower U.S. Industrial Production figures (August) released yesterday weighed down the greenback, which had been trading at its highest level in 14 months. Caution remains of the essence, with the FOMC meeting beginning today. A dovish tone in the Fed’s statement could also drag the USD down, and support both emerging and bond markets. Yesterday, U.S. 10-year bond yields recorded their first drop since September 3rd, and are continuing to pull back this morning.
The frenzy surrounding the Alibaba IPO continues, as the Chinese giant has boosted its share price range for what will be the biggest initial public offering in history.
In economic news, we are waiting for Canadian Manufacturing Sales (July) and U.S. Producer Price Index (PPI) data (August) at 8:30 a.m. At the time of writing this brief, the loonie is stable and crude oil prices are continuing to fall.
