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On January 13th, HSBC analyst Ricky Seo noted in a report that SK Hynixs fourth-quarter operating profit is expected to surge 57% quarter-on-quarter to a record 18 trillion won, with DRAM and NAND chip prices likely rising by 25% and 20% respectively. He analyzed that the weakening of the Korean won against the US dollar may also have boosted its fourth-quarter earnings. As a supplier of Nvidias HBM products, SK Hynix is expected to continue to benefit from robust shipments. The current surge in AI investment, coupled with strong demand for general-purpose DRAM during the memory chip supercycle, provides double support for the company.January 13th - Omni Health recently officially released its next-generation AI wearable product portfolio, including the Omni Health Ring Pro, which focuses on long-term vital sign monitoring, and the Omni Health Pin, an automated nutrition tracking terminal based on AI vision technology. The Ring Pro is currently available for mass sales globally, while the Omni Health Pin is scheduled for launch in 2026.According to Japans Kyodo News, Japanese Prime Minister Sanae Takaichi stated that she intends to dissolve the House of Representatives at the start of the parliamentary session scheduled to begin on January 23.According to Japans Kyodo News, Japanese Prime Minister Sanae Takaichi has conveyed her intention to dissolve parliament to senior members of the ruling party.January 13th - According to the latest data from the China Bus Statistics Information Network, in 2025, BYD once again won the annual championship with outstanding achievements of exporting 4,234 new energy buses, a year-on-year increase of 18.2%, and a market share of 24%. It is the only company that exports more than 4,200 new energy buses, and BYD has maintained its top position on the list for three consecutive years.

Canadian Dollar Outlook: CAD Extends Rally After Yesterday’s BoC Decision

Cory Russell

Apr 15, 2022 10:55

USD/CAD FUNDAMENTAL BACKDROP

The USD/CAD exchange rate began lower this morning as a result of lower US Treasury rates (a lower expectation for US inflation) and a weaker dollar. The Bank of Canada's (BoC) 50 basis point rate boost yesterday spurred a CAD surge, clawing back recent losses. In the long run, though, I prefer the dollar because I don't believe the Canadian economy can keep up with the Fed's aggressive policy. As we go through the rightening cycle, the dollar should strengthen versus the loonie.


Crude oil prices are still high, but their impact on the USD/CAD has lessened since the US is now a net crude oil producer. This can be seen in the USD/CAD price movement, where the CAD has been relatively quiet in comparison to prior crude oil price increases.


We have a couple option expiries for the New York cut later today (see details below). As the cut approaches, prices on huge expiries tend to approach the strike price. USD/CAD is now slightly higher than the below strikes, suggesting a move down later in the day.


1.2550 (289M) USD/CAD, 1.2560-70 USD/CAD (923M)


USD/CAD ECONOMIC CALENDAR As we move into the Easter weekend, retail sales and consumer confidence in the United States will round off the week, while Canadian inflation will take center stage next week.

TECHNICAL ANALYSIS

USD/CAD seems to be headed for a retest of the psychological support level of 1.2500, which is part of a building bear flag. This gloomy prognosis is definitely plausible in the short term, but as I have said, USD upside is my favored strategy after Q2.

IG CLIENT SENTIMENT DATA: MIXED

Retail traders are now significantly LONG on USD/CAD, according to IGCS, with 62 percent of traders holding long bets (as of this writing).