FX Update- USD/CAD
USD/CAD underpinned despite firm IPPI number, with the pair trading around the 1.0235 area. Dollar strength has overshadowed CAD, leaving the pair a short distance from its 1.0248 peak. Corporate related selling pressure has made the topside tough going, but oil price losses should leave the topside in sight. Stops are tipped above 1.0280 in modest size ahead of large interest at 1.0310, with a break of the latter setting the market up for a run on 1.0380 yearly highs. Real money accounts remain dip buyers, along with leverage funds amid growing expectations of further commodity market weakness, along with downside risk to the Canadian economy.