USD / CAD – Canadian dollar testing support

– Canada February economic growth expected to slow to 0.2%.

– Bank of Japan leaves rates unchanged but announces monetary policy review.

– US dollar opens with gains fueled by dovish BoJ.

USDCAD snapshot: open 1.3653-57, overnight range 1.3593-1.3666, close 1.3591, WTI $74.92, Gold $1983.61

The Canadian dollar traded negatively overnight. It was not alone. All the major G-10 currencies suffered a similar fate after the Bank of Japan surprised markets with what was considered a dovish outlook.

The Bank of Japan its yield curve control (YCC) and policy interest rate unchanged. That was expected. However, traders expected a hawkish tweak to the outlook. It didn’t happen. Instead the market learned that policymakers planned a long, drawn-out monetary policy review which is anticipated to last between twelve and eighteen months.

USDJPY soared on the news rising from 133.37 to 136.18, and that move fueled broad US dollar demand against the … Read more

Lloyds Bank orders staff to return to the office ‘at least’ two days a week

Hybrid workers will have to spend at least two days a week in the office, Lloyds Banking Group has told staff, with “card swipe data” used to monitor their return.

Lloyds banking group’s decision to change its working from home policy was announced in a note from chief executive Charlie Nunn yesterday – as first reported by the Financial Times.

Swipe data will be shared with senior leadership teams, and in cases where staff are unwilling to increase the number of days they spend in the office, managers may have “more formal conversations” about their role, according to the note.

“This is about performance, supporting each other and creating equity,” Nunn said in the note. “We want flexible working to be fair, inclusive and productive for all.”

He also confirmed the bank would run pilot schemes in the coming months examining its approach to “compressed working”, in which staff work … Read more

Manufacturing, Job Opening Figures Due Next Week



Economic Lookahead

ISM manufacturing (April)

Construction Spending (March)

Featured Earnings

Stryker Corporation (NYSE:SYK) (Q1) Reported EPS of two dollars, compared to $1.97 in the prior-year quarter.

Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) (Q1) Reported EPS of $2.51 compared to $3.16 in the prior-year quarter.

Arista Networks Inc. (NYSE:ANET) (Q1) Reported EPS of $1.19, compared to 78 cents in the prior-year quarter.


Economic Lookahead

S&P Global Canada Manufacturing PMI (April) The S&P Global Canada Manufacturing PMI dropped to 48.6 in March 2023 from a seven-month high of 52.4 in February.

Featured Earnings

Capital Power Corporation (T.CPX) (Q1) Reported EPS for $1.19 compared to 70 cents in the prior-year quarter.

Cargojet Inc. (T.CJT) (Q1) Reported EPS of $1.15, compared to 15 cents in the prior-year quarter.

MEG Energy Corp. (T.MEG) (Q1) Reported EPS for 35 cents, compared to 53 cents in the prior-year quarter.



Economic Lookahead

U.S. Job Openings … Read more