TRENDING:

CAD lags peers on softer crude oil but look undervalued – Scotiabank

The Canadian Dollar (CAD) is little changed on the session. While crude prices are a little softer, the risk mood is constructive and our equilibrium estimate for the CAD has firmed a little to 1.3666 on the day, leaving the CAD about as undervalued now as it was in March, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

CAD is little changed on the day

That should, at the very least, mean little immediate risk of the USD extending gains beyond the recent peaks. The BoC considered keeping monetary policy unchanged amid 'stronger than expected' household consumption at its September policy decision the summary of the Bank’s policy deliberations released yesterday revealed."

"But policymakers ultimately opted to cut amid broader economic softness and signs that upward pressure on core inflation was easing. BoC DG Mendes will speak on underlying inflation this afternoon. Prepared comments will hit the wires at 13.25ET."

"Spot is consolidating yesterday’s nudge higher and holding within yesterday’s range at this point. Yesterday’s USD high effectively represents a retest of resistance formed by the top/reversal pattern formed over the turn of the week. This should set 1.3960 as firm, near-term resistance. The USD has found steady support overnight around 1.3935; losses through there may see spot test key short -term support at 1.3880."

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD trades close to recent tops around 1.1580

EUR/USD is holding its ground and edging closer to the key 1.1600 level as the week wraps up. The pair’s rebound has gathered momentum thanks to continued weakness in the US Dollar, which came under extra pressure after the preliminary U-Mich Consumer Sentiment reading fell short of expectations for November.

GBP/USD flirts with multi-day highs near 1.3160

GBP/USD has turned higher, climbing to fresh weekly highs above 1.3160 on Friday. Cable’s strong rebound comes as the US Dollar loses further momentum following a disappointing round of US data releases.

Gold looks bid around the $4,000 region

Gold is holding onto its daily gains near the key $4,000 mark per troy ounce at the end of the week. The yellow metal’s recovery has been supported by a softer Greenback and a widespread pullback in US Treasury yields.

Dogecoin rebounds as Bitwise ETF could launch in 20 days

Dogecoin trades above $0.1600 on Friday, stabilizing after a rough start to the week. Eric Balchunas, a Bloomberg ETF analyst, shared that the Bitwise Dogecoin spot Exchange Traded Fund could launch 20 days after the 8(a) form filed on Thursday.

Week ahead – With the treats potentially over, is risk sentiment about to be tricked?

Risk appetite has not fully enjoyed the treats of a Fed rate cut, strong earnings and trade peace. Fedspeak, the US Supreme Court and US data could challenge the Dollar’s current strength. Aussie and Pound are on divergent paths as respective central banks meet next week.

Dogecoin Price Forecast: DOGE rebounds as Bitwise ETF could launch in 20 days

Dogecoin (DOGE) trades above $0.1600 at the time of writing on Friday, stabilizing after a rough start to the week. Eric Balchunas, a Bloomberg ETF analyst, shared that the Bitwise Dogecoin spot Exchange Traded Fund (ETF) could launch 20 days after the 8(a) form filed on Thursday.