- 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
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.
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.
- Low liquidity in Asian trading session as Japanese banks are on holiday
Bonnie and Clyde, peanut butter and jelly, Kanye West and Kanye West. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!