FOREX TradingCharts.com

Forex News: Canadian Dollar Declines On Falling Oil Prices

Canadian Dollar Declines On Falling Oil Prices

03/17/2021 - 09:25:00 (RTTNews)

(RTTNews) - The Canadian dollar drifted lower against its most major counterparts in the European session on Wednesday, as oil prices fell on demand worries after the suspension of vaccinations in some major European countries using the AstraZeneca vaccine.

Several EU nations, including Germany, France, and Italy halted vaccinations amid fears about potential side effects.

Slower vaccinations could delay the economic recovery, as some major economies are suffering from a third wave of COVID-19 infections.

"Oil demand will likely never catch up with its pre-pandemic trajectory," the Paris-based IEA said Wednesday in its annual medium-term outlook.

There may be no return to "normal" for the oil market in the post-Covid era, the agency said.

European shares dropped ahead of the Federal Reserve's monetary policy decision due later in the day.

The Fed is widely expected to leave interest rates unchanged, but traders will be paying close attention to any changes in the accompanying statement.

The loonie weakened to 1.2478 against the greenback, after touching more than a 3-year high of 1.2434 in the Asian session. The loonie is poised to challenge support around the 1.28 mark.

The loonie edged down to 1.4856 against the euro, from more than a 1-year high of 1.4796 seen at 5:00 pm ET. The loonie is likely to challenge support around the 1.50 region, if it drops again.

Final data from Eurostat showed that Eurozone consumer prices increased for the second straight month in February.

The consumer price index rose 0.9 percent year-on-year, the same rate as in January. A year earlier, the rate was 1.2 percent.

The loonie retreated to 87.43 versus the yen, after approaching 87.68, which was its biggest level since October 2018. The loonie is seen finding support around the 85.5 mark.

Data from the Ministry of Finance showed that Japan recorded a merchandise trade surplus of 217.381 billion yen in February - down 80.5 percent on year.

That was shy of expectations for a surplus of 420 billion yen following the downwardly revised 325.4 billion yen deficit in January (originally -323.9 billion yen).

In contrast, the loonie appreciated to a fresh 3-month high of 0.9617 against the aussie, following a low of 0.9645 set at 6:15 am ET. Next immediate resistance for the loonie is eyed around the 0.94 level.

Looking ahead, at 2:00 pm ET, the Fed announces its decision on interest rate. Economists widely expect the federal funds rate to be kept at 0 - 0.25 percent.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2021 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT FOREX and ECONOMIC NEWS STORIES


Dollar Little Changed After U.S. Consumer Sentiment Index (05 hr(s), 36 min(s), 41 sec(s) ago)
(RTTNews) - The University of Michigan's preliminary consumer sentiment index for April has be ...Full Story»

Dollar Steady Before U.S. Consumer Sentiment Index (05 hr(s), 42 min(s), 41 sec(s) ago)
(RTTNews) - The University of Michigan's preliminary consumer sentiment index for April is due ...Full Story»

Dollar Little Changed Following U.S. Housing Starts Data (07 hr(s), 03 min(s), 41 sec(s) ago)
(RTTNews) - After the release of U.S. housing starts and building permits for March at 8.30 am ET ...Full Story»

Dollar Mixed Ahead Of U.S. Housing Starts Data (07 hr(s), 12 min(s), 41 sec(s) ago)
(RTTNews) - The U.S. housing starts and building permits for March will be published at 8.30 am ET ...Full Story»

Loonie Mixed Ahead Of Canada Housing Starts (07 hr(s), 27 min(s), 41 sec(s) ago)
(RTTNews) - At 8:15 am ET Friday, Canada housing starts for March are due. Ahead of the data, the ...Full Story»

Japanese Yen Falls On Economic Optimism (08 hr(s), 30 min(s), 41 sec(s) ago)
(RTTNews) - The Japanese yen dropped against its key counterparts during the European session on F ...Full Story»

Euro Little Changed After Eurozone CPI (10 hr(s), 33 min(s), 40 sec(s) ago)
(RTTNews) - At 5.00 am ET Friday, Eurostat has released final consumer prices and foreign trade da ...Full Story»

Euro Mixed Ahead Of Eurozone CPI (10 hr(s), 39 min(s), 41 sec(s) ago)
(RTTNews) - At 5.00 am ET Friday, Eurostat publishes final consumer prices and foreign trade data. ...Full Story»

Search

FOREX NEWS

Dollar Little Changed After U.S. Consumer Sentiment Index

04/16/2021 - 10:04 AM (RTTNews)
(RTTNews) - The University of Michigan's preliminary consumer sentiment index for April has be ...Full Story>>

Dollar Steady Before U.S. Consumer Sentiment Index

04/16/2021 - 09:57 AM (RTTNews)
(RTTNews) - The University of Michigan's preliminary consumer sentiment index for April is due ...Full Story>>

Dollar Little Changed Following U.S. Housing Starts Data

04/16/2021 - 08:36 AM (RTTNews)
(RTTNews) - After the release of U.S. housing starts and building permits for March at 8.30 am ET ...Full Story>>

Dollar Mixed Ahead Of U.S. Housing Starts Data

04/16/2021 - 08:28 AM (RTTNews)
(RTTNews) - The U.S. housing starts and building permits for March will be published at 8.30 am ET ...Full Story>>

Loonie Mixed Ahead Of Canada Housing Starts

04/16/2021 - 08:12 AM (RTTNews)
(RTTNews) - At 8:15 am ET Friday, Canada housing starts for March are due. Ahead of the data, the ...Full Story>>

Do not sell my personal information

Copyright © 2021. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.