Market Brief: Oil and Poloz Push USD/CAD Back Below 1.33

See a summary of the top market themes and trends from today's US trading session!

View our guide on how to interpret the FX Dashboard.

  • Trade headlines dominated markets today:
    • The WSJ reported China has invited the US to another round of talks around a “phase one” trade deal, while the US is reportedly considering delaying the scheduled December 15th tariffs regardless of whether there’s a deal or not.
    • Meanwhile, Beijing is closely watching the status of the US bill supporting Hong Kong protestors.
    • Separately, the USMCA trade deal is nearing completion, with some lawmakers still expressing optimism that it could be signed later this year.
    • Finally, Politico reported that the White House is considering a trade investigation into EU automobiles.
  • FX: The Canadian dollar was the day’s strongest major currency, bolstered by less dovish comments from BOC Governor Poloz and rising oil prices. The New Zealand dollar was the day’s weakest currency.
  • Commodities: Oil tacked on another 2% to trade at a nearly 2-month high today, while gold slipped less than -1%.
  • US indices closed moderately lower on the day following a late fade.
  • Energy (XLE) was the strongest major sector for the second straight day. REITs (XLRE) brought up the rear.
  • Stocks on the move:
    • Broker Charles Schwab (SCHW, +7%) is reportedly looking to buy TD Ameritrade (AMTD, +17%).
    • Macy’s (M) shed -2% after the department store missed analysts’ sales estimates and lower full-year guidance.
    • General Motors (GM) ticked -2% lower on an announcement that the company would have to recall over 600k trucks.

Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.

Open an Account