Gold prices reached recent record highs while North American equities also moved higher. Gold moved higher on two fronts, one, China-U.S. tensions continue to grow and two, the Covid-19 virus numbers look like there is no end in sight. Both of these have expectations of a slowing global economy therefore gold has become the ultimate hedge against weaker currencies and stocks.
Meanwhile equities are still moving higher, analysts believe that the U.S. Federal reserve will be forced to keep interest rates at their lows for a lot longer than anticipated, thereby making investors put their money in equities in order to attract some kind of investment yield.
The Canadian dollar is a bit stronger on the back of higher gold, silver and copper prices, and a weaker USD against most currencies, expect a narrow range the rest of the day.
Currently Close Range
USDCAD 1.3388 1.3415 1.3367-1.3435
EURCAD 1.5730 1.5638 1.5624-1.5775
GBPCAD 1.7237 1.7164 1.7156-1.7264