Forex - USD/CAD close to multi-year low as risk appetite sharpens

Published 03/30/2011, 09:39 AM
USD/CAD
-
EUR/CAD
-
Investing.com – The U.S. dollar was trading close to multi-year lows against its Canadian counterpart on Wednesday, as optimism over the global economic recovery boosted commodity linked currencies.

USD/CAD hit 0.9688 during European afternoon trade, the pair’s lowest since March 10; the pair subsequently consolidated at 0.9706, shedding 0.36%.

The pair was likely to find support at 0.9667, the low of March 9 and a 40-month low and resistance at 0.9783, Tuesday’s high.

Earlier in the day, official data showed that Canadian producer prices and raw material prices rose in February.

Statistics Canada said the industrial product price index rose in line with expectations, climbing by 0.7% after rising by 0.2% in January.

Meanwhile, the raw materials purchase price index rose by 1.8% in February, after increasing by 0.3% the previous month. Analysts had expected the raw materials purchase price index to rise by 0.8%.

The February rise was led by a 3.0% jump in oil and coal products, and primary metal products. Both indexes have been on an upward trend since mid-2010.

The loonie was also higher against the euro, with EUR/CAD shedding 0.58% to hit 1.3670.

Also Wednesday, payroll processor ADP said U.S. private employers added 201,000 jobs in March, while February's figure was revised down slightly.



Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.