Analysts at Scotiabank explained that the CAD is weak, down from Monday’s close and extending its recent decline to fresh multi-month lows, a relative performer among the G10 in an environment of risk aversion and broad-based USD strength. Key Quotes: “The market tone is dominating, pressuring CAD as a result of its risk profile as a growth-sensitive commodity currency.” “Oil prices are falling and Canada’s terms of trade are deteriorating. Short-term domestic rate expectations continue to soften and OIS are now pricing in just 5bpts of tightening for May 30, 16bpts for July, while still pricing in one full 25bpt hike by September.” “Measures of sentiment remain remarkably steady however, as risk reversals are already pricing a sizeable premium for protection against near-term CAD weakness.” “Our FV estimate for USD/CAD, using oil prices and the 5Y spread, is now just below 1.2600.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next SNB’s Jordan: Developments in recent days show currency market situation remains fragile FX Street 5 years Analysts at Scotiabank explained that the CAD is weak, down from Monday's close and extending its recent decline to fresh multi-month lows, a relative performer among the G10 in an environment of risk aversion and broad-based USD strength. Key Quotes: "The market tone is dominating, pressuring CAD as a result of its risk profile as a growth-sensitive commodity currency." "Oil prices are falling and Canada's terms of trade are deteriorating. Short-term domestic rate expectations continue to soften and OIS are now pricing in just 5bpts of tightening for May 30, 16bpts for July, while still pricing in one full 25bpt… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
