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4 May 2016
USD/CAD keeps rising and breaks above 1.2850
The Canadian dollar is falling sharply across the board and recently extended losses after the release of crude oil inventory data that triggered a decline in the price of the barrel.
USD/CAD broke above 1.2800 two hours ago and it reached recently a fresh 2-week high at 1.2870. Currently, it trades at 1.2860, up 1.10%. For the second day in a row the pair is rising more than a hundred pips.
From yesterday’s multi-month lows the pair climbed over 400 pips on an impressive rally that pushed the price above important technical levels suggesting a possible bottom.
WTI retreats
A stronger US dollar across the board, that receive an extra boost after the ISM non-manufacturing index showed a higher-than-expected increase, risk aversion and the reversal in crude oil, favored the upside in the USD/CAD pair.
The WTI barrel was moving toward $45.00 but is now under $44.00, after erasing in a few minutes most of the day’s gains. According to information from EIA, crude oil inventories have increased by nearly 2.8 million barrels last week, almost twice as expected.
USD/CAD broke above 1.2800 two hours ago and it reached recently a fresh 2-week high at 1.2870. Currently, it trades at 1.2860, up 1.10%. For the second day in a row the pair is rising more than a hundred pips.
From yesterday’s multi-month lows the pair climbed over 400 pips on an impressive rally that pushed the price above important technical levels suggesting a possible bottom.
WTI retreats
A stronger US dollar across the board, that receive an extra boost after the ISM non-manufacturing index showed a higher-than-expected increase, risk aversion and the reversal in crude oil, favored the upside in the USD/CAD pair.
The WTI barrel was moving toward $45.00 but is now under $44.00, after erasing in a few minutes most of the day’s gains. According to information from EIA, crude oil inventories have increased by nearly 2.8 million barrels last week, almost twice as expected.