USD/CAD technicals showing an early sign of reversal
The Canadian dollar is the second-worst performer today, narrowly ahead of the Aussie. That's boosted USD/CAD more than a half-cent to 1.2278.
The bulk of the gains came after data showing slightly higher-than-expected inflation but much lower than expected retail sales.
The US dollar is under some minor pressure right across the board today but the Fed's Williams is speaking later and he might wish to tilt the emphasis back toward the possibility of a September rate hike, if only to keep the option on the table.
It's late in the week, but that could give the US dollar fresh legs.
Looking at the chart, there is already a sketchy head & shoulders pattern forming but a close above 1.2340 would be a pretty powerful bullish signal. That said, it's tough to bet on a 70-pip move with London traders about 2 hours away from the pub.
