Latest news with #SilverGoldBull
Zawya
26-05-2025
- Business
- Zawya
Canadian dollar hits 7-month high after upbeat retail sales data
TORONTO - The Canadian dollar strengthened to a seven-month high against its U.S. counterpart on Friday as the greenback posted broad-based declines and domestic retail sales data supported bets that the Bank of Canada would remain on the sidelines. The loonie was trading 1% higher at 1.3712 per U.S. dollar, or 72.93 U.S. cents, its strongest intraday level since October 10. It was the fifth straight day of gains for the currency, the longest daily winning streak since June. For the week, the currency was up 1.8%. Canadian retail sales grew by 0.8% in March from February, more than analysts had forecast, while preliminary data showed an April increase of 0.5%. The combination of strong domestic data and reduced demand for the American currency "put a flame under the Canadian dollar today," said Erik Bregar, director, FX & precious metals risk management at Silver Gold Bull. The move began "snowballing" after USD-CAD triggered stop-loss orders below the May 6 low at 1.3748. The U.S. dollar tumbled against a basket of major currencies and the price of oil, one of Canada's major exports, gained 0.6% to $61.58 a barrel. On Tuesday, hotter-than-expected Canadian core-inflation data spurred investors to bet that the BoC would leave its benchmark interest rate unchanged at 2.75% at a policy decision on June 4, after previously expecting the central bank to resume its easing campaign. The Canadian 10-year yield was down 1.5 basis points at 3.360%, tracking a decline in U.S. Treasury yields. U.S. President Donald Trump threatened to impose hefty tariffs on smartphone giant Apple and goods from the European Union, raising concerns about slowing economic growth.
Reuters
23-05-2025
- Business
- Reuters
Canadian dollar hits 7-month high after upbeat retail sales data
TORONTO, May 23 (Reuters) - The Canadian dollar strengthened to a seven-month high against its U.S. counterpart on Friday as the greenback posted broad-based declines and domestic retail sales data supported bets that the Bank of Canada would remain on the sidelines. The loonie was trading 1% higher at 1.3712 per U.S. dollar, or 72.93 U.S. cents, its strongest intraday level since October 10. It was the fifth straight day of gains for the currency, the longest daily winning streak since June. For the week, the currency was up 1.8%. Canadian retail sales grew by 0.8% in March from February, more than analysts had forecast, while preliminary data showed an April increase of 0.5%. The combination of strong domestic data and reduced demand for the American currency "put a flame under the Canadian dollar today," said Erik Bregar, director, FX & precious metals risk management at Silver Gold Bull. The move began "snowballing" after USD-CAD triggered stop-loss orders below the May 6 low at 1.3748. The U.S. dollar (.DXY), opens new tab tumbled against a basket of major currencies and the price of oil, one of Canada's major exports, gained 0.6% to $61.58 a barrel. On Tuesday, hotter-than-expected Canadian core-inflation data spurred investors to bet that the BoC would leave its benchmark interest rate unchanged at 2.75% at a policy decision on June 4, after previously expecting the central bank to resume its easing campaign. The Canadian 10-year yield was down 1.5 basis points at 3.360%, tracking a decline in U.S. Treasury yields. U.S. President Donald Trump threatened to impose hefty tariffs on smartphone giant Apple (AAPL.O), opens new tab and goods from the European Union, raising concerns about slowing economic growth.
CNA
23-05-2025
- Business
- CNA
Trump's 50% tariff threat trims euro's gains against dollar
NEW YORK :The euro pared gains sharply on Friday, after U.S. President Donald Trump once again ratcheted up his trade war, recommending the European Union be hit with 50 per cent tariffs beginning June 1, rekindling concern about the impact of duties on the world economy and global trade. Trump said in comments on social media that the EU was "very difficult to deal with" and "our discussions with them are going nowhere." He threatened in a separate post to impose a 25 per cent tariff on Apple iPhones not made in the United States. "One of the challenges I'm finding in the FX space ever since these this reciprocal tariff thing came out is how we're not seeing this traditional risk on, risk off behavior with the dollar," said Erik Bregar, director of forex & precious metals risk management, at Silver Gold Bull in Toronto. "This morning's news is very euro-specific, so that's the reason it's bumped euro and buy dollars initially, but zooming out, it feels like we move between the de-dollarization trade and taking it off, depending on what headline we get, and that's a bit of a new paradigm." The dollar index, which measures the greenback against a basket of currencies, fell 0.48 per cent to 99.43 after dropping as much as 0.77 per cent to 99.135 on the session. The euro was up 0.38 per cent at $1.1323 after climbing as much as 0.83 per cent to 1.1374 on the day. For the week, the greenback is down 1.5 per cent, on track for its biggest weekly percentage decline since mid-April while the euro was up 1.4 per cent on the week. Bregar said a high number of options on the euro that were due to expire today may also have limited the move on the tariffs announcement. In addition, Treasury Secretary Scott Bessent said Trump's declaration was in response to the EU's pace on tariff talks, indicating it may be a negotiating tool. Against the safe-haven Japanese yen, the dollar weakened 0.87 per cent to 142.75 after falling as much as 1.1 per cent on the day. For the week, the greenback is down 1.9 per cent against the Japanese currency. The Japanese currency got a boost earlier from data showing Japan's core inflation accelerated at its fastest annual pace in more than two years in April, raising the odds of another interest rate hike by year-end from the Bank of Japan. The data underscores the dilemma facing the Bank of Japan, which must grapple with price pressures from persistent food inflation as well as economic headwinds from Trump's tariffs. Super-long Japanese government bonds have also scaled record highs this week, although yields dipped on Friday. After Moody's last week downgraded its U.S. debt ratings, investor attention has focused on the country's $36 trillion debt pile and Trump's tax bill, which could add trillions of dollars more to it. The bill narrowly passed the Republican-controlled U.S. House of Representatives and now heads to the Senate for what is likely to be weeks of debate, keeping investor sentiment fragile in the near term.
Reuters
03-04-2025
- Business
- Reuters
Canadian dollar heads for biggest gain in two years after tariff reveal
Summary TORONTO, April 3 (Reuters) - The Canadian dollar rose to a near four-month high against the greenback on Thursday as Canada avoided fresh tariffs on its goods in a widening trade war that has led to investors ditching the American currency. The loonie was trading 1.3% higher at 1.4050 per U.S. dollar, or 71.17 U.S. cents, putting the currency on track for its biggest advance since January 2023. The currency touched its strongest intraday level since December 6 at 1.4028. Wall Street tumbled after U.S. President Donald Trump said he would impose a 10% baseline tariff on all imports to the United States and higher targeted duties on some of the country's biggest trading partners. Goods from Canada and Mexico that comply with the USMCA trade agreement between the three countries will largely remain exempt from tariffs, except for auto exports and steel and aluminum which fall under separate tariff policies. "We saw the initial reaction yesterday after the reciprocal tariff announcement - markets seemed to be celebrating the fact that there weren't any more tariffs on Canada," said Erik Bregar, director, FX & precious metals risk management at Silver Gold Bull. "But overnight we've seen a collapse for the broader U.S. dollar." The U.S. dollar (.DXY), opens new tab posted sharp declines against a basket of major currencies as investors moved to price in four interest rate cuts this year from the Federal Reserve, up from three before the tariff announcement. In contrast, investors have reduced bets on the Bank of Canada continuing its interest rate cutting campaign this month. "I just don't think today is the day to be a hero and try to fade this," Bregar said. "This is a move where people are getting out and could continue maybe for another day or two." Canadian bond yields were mixed across a steeper curve. The 10-year yield was up half a basis point at 2.929%, while the gap between it and the U.S. equivalent narrowed by 13.5 basis points to about 113 basis points in favor of the U.S. note, the smallest since December 5.
Reuters
27-02-2025
- Business
- Reuters
Canadian dollar hits 3-week low as tariff reprieve hopes fade
TORONTO, Feb 27 (Reuters) - The Canadian dollar hit a three-week low against the greenback on Thursday as U.S. President Donald Trump said that tariffs on Canadian goods will go into effect on March 4, clearing up some confusion on the timing and dashing hopes of a reprieve. The loonie was trading 0.8% lower at 1.4425 per U.S. dollar, or 69.32 U.S. cents, after touching its weakest intraday level since February 4 at 1.4442. It was the fifth straight day of declines for the currency. Trump said that his proposed 25% tariffs on Mexican and Canadian goods will go into effect next week as scheduled because drugs are still pouring into the U.S. from those countries. On Wednesday, Trump's comments on the matter seemed to suggest that he may push the deadline back for about one month until April 4. "If you were positioned for relief, this is a slap in the face," said Erik Bregar, director, FX & precious metals risk management at Silver Gold Bull. "It's an angry, get me out of the market, kind of move." The loonie touched a 22-year low of 1.4793 on February 3 in anticipation of tariffs which were then delayed. The price of oil, one of Canada's major exports, was up 2.2% at $70.11 a barrel as supply concerns resurfaced after Trump revoked a license granted to U.S. oil major Chevron (CVX.N), opens new tab to operate in Venezuela. Canadian fourth-quarter gross domestic product data, due on Friday, could help guide expectations for further interest rate cuts by the Bank of Canada. Economists forecast annualized growth of 1.8%. Canadian bond yields were mixed across a steeper curve, with the 2-year down 1.4 basis points at 2.636%.
