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CAD Edges Up On Crude Inventories Continue To Rise

Published 03/22/2017, 11:43 AM
Updated 07/09/2023, 06:31 AM

Risk off sentiment dictated price action in today’s session with JPY the main beneficiary as the currency was bolstered by safe-haven flow. In turn, USD/JPY fell to 4-month lows with the pair briefly breaking below 111.00. Much of the sentiment had been dampened over concerns that President Trump will struggle to deliver his promised tax cuts and infrastructure, where the first test will be seen tonight as Trump looks to pass his healthcare bill act.

Elsewhere, commodity currencies slipped in line with crude prices as oil inventories continue to rise in the US, after the latest DoE crude report showing a build of 4.9mln with production rising yet again. As such, CAD edged up to 1.3400 against the greenback, while focus for NZD will be tonight's RBNZ rate decision in which expectations are for the central bank to stand pat on rates and reiterate a neutral bias. Of note, o/n vol for NZD/USD is around 20.00/56 pips.

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