Article Highlights

  • Canadian headline CPI up 0.1% in October as expected
  • Canadian core CPI up 0.3% vs. projected 0.2% gain
  • Canada’s headline and core retail sales down 0.5% in September
  • FOMC officials Dudley and Williams hint at Fed tightening
  • New Zealand visitor arrivals up 0.2% in Oct, +4.4% previous
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Talk about making a strong comeback! The Greenback may have given up some ground earlier in the week, but it finished Friday strong and recovered against its forex peers.

Major Events:

Mixed Canadian data – Canada’s latest inflation reports didn’t turn out too bad, as the headline CPI came in line with expectations of a 0.1% uptick while the core CPI printed a stronger than expected 0.3% gain. Its September retail sales figures were very disappointing, though, with the headline and core readings showing 0.5% declines.

FOMC members testimonies – A couple more Fed policymakers, namely John Williams and William Dudley, gave testimonies that confirmed the strong likelihood of a December liftoff. According to Williams, there is a strong case for a rate hike, assuming that the upcoming data turns out well. Basically nothing new from the FOMC minutes.

Major Currency Movers:

USD – The Greenback capped off the week by rebounding to its weekly forex highs, erasing most of its losses over the past couple of days.

EUR/USD dropped back to the 1.0650 area from a high of 1.0708, USD/CAD bounced back to the 1.3350 levels after retreating to 1.3270, GBP/USD slipped below the 1.5200 handle once more, and USD/CHF is closing in on the 1.0200 mark.

CAD – The Loonie had another rough day, weighed by oil price weakness and mostly downbeat data from Canada.

CAD/JPY tumbled from an intraday high of 92.54 to close at 92.08, AUD/CAD seemed unstoppable in its climb to the .9650 minor psychological resistance, and NZD/CAD made its way up to a high of .8777.

Watch Out For:

  • Low liquidity in Asian trading session as Japanese banks are on holiday

See more:

Asian Session Recap

London Session Recap

Bonnie and Clyde, peanut butter and jelly, Kanye West and Kanye West. Some things just go well together.

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Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!