USD/CAD trades above 1.0500 in early UD trade, supported by the nagging fear that the BOC could intervene in USD/CAD in order to weaken the currency to try and achieve the Bank’s 2% inflation target. With CPI now around 0.9%, the strong currency is one more factor holding down prices (not to mention economic growth).
USD/CAD often turns before some of the majors during broad USD trends, so keep an eye on this one in the days ahead.
Bernanke kicks off the US session with a speech from the Boston Fed conference down the Cape…
