For week of April 20 -24, 2015
It is a very quiet morning throughout North America with only a small amount of economic data on the schedule. In Canada, the Bloomberg Nanos Confidence Index will update for the week ending April 17 after hitting 55.4 in the most recent update. In the U.S. the Chicago Fed National Activity Index has fallen to -0.42 in March, lower than forecasts calling for 0.10. A reading below 0 in this index indicates below-trend growth across the national economy.
Focus throughout this week is expected to fall on data out of the United States due to the lack of domestic data on the schedule out of Canada. In Canada tomorrow, an update will be made to Wholesale Trade Sales for February. Also scheduled for tomorrow, Finance Minister Oliver will present the Canadian Budget. Highlights in the U.S. include updates to Existing Home Sales, New Home Sales, and Durable Goods Orders. Existing Home Sales are expected to rise by 3.1% in March while New Home Sales are forecast to fall by 4.5%. Economists are calling for an increase in Durable Goods Orders of 0.6% in March, following a decrease of 1.4% in the most recent update. Markets will be paying close attention to all major releases out of the U.S. as the next Federal Reserve Rate Announcement approaches, schedule for April 29th.
In the currency markets, the Canadian dollar is up slightly against the USD in early trading this morning following a strong performance from the Canadian currency last week caused by strong inflation, increased oil prices and an unexpected shift from the Bank of Canada. The price of oil is down slightly this morning, trading below $55.50 per barrel. Due to the lack of domestic data this week, risks to the CAD will come from developments out of the United States.
Todays expected range: 1.2176 – 1.2276
Posted by Concentra Financial Markets