The US Dollar Saves its Positions

The US dollar remains strong against the basket of currencies, amid positive preliminary data on business activity in the US.

• The index of business activity in the manufacturing sector (PMI) in October rose to around 54.5, exceeding the previous value at the level of 53.1.
• Composite index of business activity (PMI) by Markit in October was 55.7, which is higher than the previous value at 54.8.
• The index of business activity (PMI) in the services sector also increased in October and amounted to 55.9, which is higher than the September value of 55.3.

Based on this statistics, the pair USD/CAD continues trading just below the current high, which is at the level of 1.2667. The deterrent of the stronger growth of the US dollar against the Canadian is the positive dynamics of oil prices, as well as the expectation of the Bank of Canada tomorrow’s decision on the interest rate.

Alexander Sivtsov