During a trading day that saw little in the way of volatility or news, the Canadian dollar gained ground despite weak crude oil prices. The price of WTI crude oil lost 2% yesterday as Hurricane Harvey should increase in strength to reach category 3 and hit the area of Texas, where numerous refineries are located. Although the storm should not materially affect oil production, demand could be affected if refineries are damaged.
The streak of positive Canadian economic news continues, with Statistics Canada confirming yesterday that profits of non-financial companies grew by 2.6% over the second quarter. It should be noted that operating profits increased in 14 of the 17 non-financial industries.
Today, our attention will shift to the Jackson Hole Economic Symposium, where U.S. Federal Reserve Chair Janet Yellen and European Central Bank President Mario Draghi will speak. Few important statements are expected at this year’s symposium. Nevertheless, investors will carefully follow the speeches to listen for clues on where monetary policy is headed, which could influence currencies.
Mark Donohue
Range of the day : 1.2475 - 1.575