GBP/CAD – Volatile Day
Yesterday ended up largely as a non-event for the value of the CAD. No significant change was seen in the value of the import and export sector, showing that they are weathering the storm of low oil prices well, but not enough to bolster Canadian Dollar value.
GBP/CAD rates were on the verge of hitting 2.06 this morning, with 'Super Thursday' today in the British Market expected to cause significant volatility for all GBP pairings.
Super Thursday refers to the interest rate decision in the UK....
Will CAD continue to weaken?
Today the Canadian Dollar will be put under further scrutiny, as data released concerning its import and export sector will shed light on its current economic state.
The CAD has come under further pressure in recent days due to the announcement of a global increase in oil production, which further lowered current and future prices for oil. With CAD being a commodity currency, it's value is closely linked to commodity currencies.
However, today may see some Canadian Dollar strength when the data is released at 12:30...
GBP/CAD benefits from cheaper Oil
It seems that it may not be much longer that it is only futures prices for oil which are in the $40-$50 region for purchasing. Fitch Ratings has announced that a retest of the $45 mark for a barrel of Brent Crude on the spot is inevitable in the future.
The price dropped below $50 briefly on Monday for the first time in over half-a-year. Recent data has shown that global production has continued to rise, as companies and nations battle it out for favourable...
GBP/CAD rates drop more than 1.5 cents!
Energy prices rebounded today after taking a further hit last week with the lifting of Iranian sanctions. But prices lifted as indications of the future oil flood from Iran were overrated. Brent moved back up 94 cents to $48.92. This significantly strengthened the Canadian Dollar against most major currencies.
The move may even have brought rates back below 2.01 but some strong data emerging from the UK economy halted the slide in GBP/CAD rates. Mortgages in the UK were up, showing significant consumer confidence in...
UK GDP figures come in stronger than expected, GBP/CAD rates spike back up
We are back to where we started on Monday, with GBP/CAD rates holding back up in the high 2.02's following a strong showing by the UK economy in the recent release of GDP figures for the second quarter of 2015. Between April and June initial figures show that the UK economy grew by 0.7%...a surprise as recent figures had shown a contraction last month in certain sectors of the economy, such as retail.
Because markets were expecting a poor showing for Sterling, rates journeyed down...
GBP/CAD Rates holding steady
Positive data released this morning for the UK industrial complex pushed GBP/CAD rates back into the 2.02's and verging on 2.03. UK construction and industrial sectors been one of the worst performers recently for the UK economy, which is why the first suggestion that this may be changing has caused Sterling strength.
However, this was short-lived. Strong Durable Goods orders in the US have bolstered confidence in the US economy and by association the Canadian Dollar . Durable Goods are items which take a long...
Quiet week for Data
This week the only significant release of data to give us a glimpse into the Canadian Economy will be on Friday, where GDP figures for June will be revealed. Until then GBP/CAD, EUR/CAD and other CAD pairings will be governed by events outside of the country.
Following surprisingly goodretail sales figures for the Canadian economy last week, growing twice as fast as analysts had expected, GBP/CAD rates shot down to 2.01 and have since settle just above 2.02. This was also helped by the opposite...
Strong retail data sees GBP/CAD rates tumble!
CAD strengthened yesterday following the surprising growth in their retail sales sector. In a single month the sector grew by 1%, half of which was a growth in car sales due to cheap fuel. Due to the further worsening of oil prices, many who were waiting to buy a car could move on this, because they were more confident with handling the long-term costs involved.
Specifically concerning GBP/CAD rates, this was a fantastic day for CAD sellers. While the Canadian retail sector expanded, the opposite...
CAD value currently stable
CAD has found stability following the BOC's pre-emptive decision to deploy a rate cut. This was hoping to safeguard the economy from the effects of historically low oil prices, worsened by the expected glutting effect once Iranian oil becomes available for global purchase.
The only slight spike has been by about a Cent for GBP/CAD rates following the announcement yesterday that the Bank of England may consider an interest rate hike as early as November (data permitting).
So we are faced with extraordinary buying opportunities, and...
Greece approves bailout deal
Greece's parliament approved the bailout deal offered by the European Council last night, with 229 voting for the package and 64 against. Of that 64, half were from the ruling Syriza party. The vote was passed amid a tirade of petrol bombs thrown by protestors outside, but we are finally at a point where a deal seems to be close to being finalised. The bailout now needs to be ratified by the parliaments of several key members. After months now, world financial markets can...
