Mark Carney Leaving Canada's BOC For England's BOE

It was announced yesterday (Monday) that the Governor of the Bank of Canada (and former Goldman Sachs' executive), Mark Carney, will be leaving his position on June 1, 2013 to fill the role of Governor of the Bank of England on July 1, 2013 for a fixed five-year term.

This Wikipedia link provides background information on Mr. Carney.

At the time of my writing this post during Monday's market hours, the USD/CAD forex pair is currently trading just below parity at 0.9945, while the GBP/USD is trading at 1.6015, and the EUR/USD is 1.2968, as shown on the Daily charts below. Whether Mr. Carney's departure next year will negatively impact the Canadian Dollar and positively impact the British Pound (and, possibly, the Euro) in the near-term and long-term remains to be seen.


Canada's TSX Index is down slightly from Friday's close at 12,172.50. London's FTSE 100 Index closed down today by -32.42 at 5786.72. Other major European indices closed down slightly today, as well. After-Hours Market UPDATE: Here's a 1-year Daily shot of the TSX, FTSE 100, and EUR 100 Indices which shows today's close. As you can see, they are all approaching major resistance levels that were established earlier this year...whether they can reach and break above those levels remains to be seen.

The year-to-date graph below shows that Canada's TSX Index lags in terms of net percentage gained compared with the other two indices...a sign of commodity weakness from September.

The 2-year Daily chart below of the Commodities ETF (DBC) is reflective of the TSX's weakness. It is also approaching a major resistance level at around 28.22. A break and hold above that price is possible, as I don't see any negative divergences on the MACD, Stochastics, and RSI indicators...one to watch, along with the TSX, as such a break above could fuel a further rally in the TSX, and, potentially, positively influence other equity markets in the U.S., U.K., and even Europe.