USD Fallout

[errolanderson]

Rising Canadian dollar as result of USD weakness and upbeat comments from the Bank of Canada last week. Cdn GDP to be released Wednesday morning.

Trump says he hit-a-homerun in Europe. Europe doesn't seem to agree. More USD weakness on White House faux pas appears possible. Loonie 75 cents plus? . . . .

[errolanderson]

More punishment for the U.S. dollar . . . U.S. jobs data a big miss today. Loonie gradually pushing into a higher trading range?

[farming101]

Ha Errol I wondered if you would add a post to this thread today.
Regarding the CAD, yes it could be argued it is doing better than the USDX but not much.
Most likely scenario - they both stay weak. Oil weak today - low 40's in the nearby a possibility?

[errolanderson]

Ha Errol I wondered if you would add a post to this thread today.
Regarding the CAD, yes it could be argued it is doing better than the USDX but not much.
Most likely scenario - they both stay weak. Oil weak today - low 40's in the nearby a possibility?

farming . . . Oil down, but loonie up . . . showing resilience in my view. Janet Yellen mid June rate hike or not decision may be the next big currency market factor.

[errolanderson]

Canadian jobs data released this morning (June 09) was impressive. 54,500 jobs were added in May, well above expectations of 15,000. Jobs added were mostly full-time. Canada's unemployment rate is now 6.6%. Manitoba has the lowest unemployment in the country.

This data is supportive to the Cdn dollar . . . .

[ajl]

Think the Canadian data has anything to do with reality Errol? Most in AB are surviving, but most income in Canuckistan is transferred, not earned, so employment data has little to do with household income. Transferred income is any income that results from government policy either direct or indirect, such as financial repression enriching real estate speculators or milk quota enriching dairy farmers.

[errolanderson]

Think the Canadian data has anything to do with reality Errol? Most in AB are surviving, but most income in Canuckistan is transferred, not earned, so employment data has little to do with household income. Transferred income is any income that results from government policy either direct or indirect, such as financial repression enriching real estate speculators or milk quota enriching dairy farmers.

ajl, excellent point . . . Out-of-control government deficit spending has created a false economy and the only source of economic growth. And taking from the next generation right now will take many years to correct. A government debt unwind ahead will be painful and unavoidable (IMO).