Canadian Dollar Gains with Crude Oil Prices, Japanese Yen May Rise


The anti-risk Japanese Yen, while still having largely outperformed against its major counterparts, trimmed its gains following the FX flash crash after Apple cut revenue projections. This development crossed the wires during arguably the most illiquid part of the trading day, the transition from US market close to Asia open. Some markets were still off for the holidays. This created the perfect equation for knee-jerk volatility


Unsurprisingly, European and US equities traded lower in the aftermath as anticipated. Despite a temporary rebound in the S&P 500, it ended the day about 2.48% lower which was its worst performance since Christmas Eve. This may have been because of dismal US ISM Manufacturing data which unexpectedly weakened to its lowest in over two years.

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