Daily Market Review: JPY & USD Weaken Against Peer Currencies
CAD Expected to Heave Down Following Release of Core Retail Sales ReportAs the Canadian Dollar displays its strongest position in the past three days, investors anticipate that it will weaken against its peer currency, the US Dollar, due to the expected data to be released in the monthly Core Retail Sales report.
The report, thought to be an accurate gauge of the nation’s spending trends, indicates the total value of sales attained through retail, hence it expresses the purchasing power of Canada’s population. As experts forecast the report to produce figures which are higher than previously, the CAD is expected to endure a relatively small decline. However, some bank strategists do believe there’s room for surprise, in which the CAD may as well grow stronger.
The positive anticipation greeted by the strategists derives from the promising statistics the CAD achieved in the past three months, reaching a three-month high against the U.S. Dollar. In addition, the tentative acquisition of BlackBerry LTD., Canadian smart phone maker, retained the loonie in high rates.
China’s Golden Week Discontinues Gold’s DeclineOctober 1 marks 2013 National Day of China. The holiday, which lasts approximately a week is also referred to as the ‘Golden Week’, has presumably stopped the inflicted decline the Gold prices were undergoing due to an increase in demand.
Prior to the current halt in the Gold’s declining prices, its prices fell for four consecutive weeks, approaching the threat of yet another monthly loss, similar to the losses of June earlier this year.
Experts argue that the patch the Gold prices are expected to take primarily relays on the Federal Reserve’s future actions concerning the stimulus, and for the time being the prices fall will remain as is due to steady physical purchases.