Sticky Registration Sticky Customer Support

Daily Currency Update

Get access to our expert daily market analysis and discover and track your currency pair using our exchange rate tools.

Canadian dollar update – Thursday August 6, 2020. US dollar opens flat ahead of tomorrow's non farm payrolls.

FX & market recap:

FX markets didn’t stray too far from where they closed, overnight. The US government is hanging unemployed workers out to dry, as election gamesmanship thwarts attempts for a replacement for the CARES Act. COVID-19 flare-ups in France, Britain and in the US are cause for concern, as are ongoing China and “most of the free-world” hostilities. It wasn’t enough to spark a US dollar rally, but it put the brakes to broad US selling.

Traders are also “pulling in their horns” ahead of today’s US weekly jobless claims data and Friday’s nonfarm payrolls report. Yesterday’s feeble ADP employment report raised concerns for a spike in claims and unemployment. WTI oil traded in a $41.64-$42.42/barrel range and underpinned by the weak US dollar and Wednesday’s news that US crude inventories fell by 7.37 million barrels. Gold (XAU/USD) traded steady in a $2043.89-$2053.91 range supported by the weak US dollar, low global interest rates, and a dash of safe-haven demand from geopolitical tensions.

Canadian dollar highlights:

USD/CAD dropped to 1.3235 yesterday, just above support in the 1.3230 area. It held and prices bounced to 1.3288 overnight. USD/CAD is punching above its weight. The currency pair is free-loading on the broad-US dollar sell-off. Yesterday’s ADP report was weak, and though a poor barometer of NFP, still raises concerns that Friday’s NFP report may be weaker than expected.

A weak US economy is not helpful for the Canadian outlook, either. The US dollar is suffering from the belief that the European economy will outperform the US economy because of the rise in COVID-19 cases in America. However, the new case numbers are declining. Canada has its version of a political crisis with calls for the Finance Minister to resign. The Alberta oil patch got hit with another blow last week when Total Petroleum, wrote down $9.5 billion in oilsands assets. If they don’t see hope in Canada’s energy industry, who else will bail?

Euro highlights:

EUR/USD rallied, albeit choppily, in a 1.1839-1.1915 band. It peaked after the German Factory Orders data was released, then profit taking drove prices to the overnight low, which is where they are in early NY trading. EUR/USD has risen on the back of negative US dollar sentiment stemming from US political dysfunction, the resurgence of coronavirus cases in many US states and the perception that the European economy will outperform the US economy in the second half of the year. However, the magnitude of recent gains and the risk of a correction with nonfarm payrolls looming is making traders cautious.

British pound highlights:

GBP/USD was the best performing currency overnight. GBP/USD popped to 1.3284 after the Bank of England announcement, and that is where it sits in early NY trading. Prices were supported when the BoE said that April-June COVID-19 slump was “less severe” than expected. They lowered their 2020 forecast for unemployment from 10.0% to 7.5% and upgraded their 2020 growth forecast to -9.5% from -14%. Officials are still discussing the use of negative rates, but Governor Baily said he “did not think we are about to use negative rates, that is not the current plan.”

Asia Pacific highlights:

USD/JPY traded sideways in a 105.40-68 band. Wednesday’ weak ADP data and soft US Treasury yields weighed on prices. AUD/USD and NZD/USD moves mirror US dollar sentiment. Both currency pairs are lower on the back of profit-taking ahead of Friday’s NFP data, following this week’s strong gains.

Currency Chart

Get access to our market experts and sign up to receive the latest updates on any currency with our real-time exchange rate reports.

Sign up to receive the latest market news from our experts.

Daily Currency Updates
Daily Market Analysis
Get daily intelligence and currency reports directly to your inbox.
Weekly FX Technical Analysis
Weekly Technical Analysis
Get our weekly technical analysis providing valuable insights.
Monthly Currency Outlook
Monthly Currency Outlook
Receive our monthly currency report and help improve your forecasts.

By entering your email address you agree to the MTFX Terms Of Use and MTFX Privacy Policy and agree and agree to receive sales and marketing communications. Unsubscribe at anytime.


Individuals and businesses who need to send money in foreign currency internationally can use MTFX’s services. The beneficiary of the transfer must have a bank account for the funds to be paid into. Personal clients usually use our services to transfer money between their own accounts in two different countries. Business clients usually use our services to transfer funds to suppliers, fund international operations, or repatriate overseas earnings.
MTFX offers currency exchange rates that are 2-5% better than those offered by the banks. Personal clients usually save hundreds of dollars per transfer and for larger transfers, the savings can run into the thousands. We also offer excellent customer service, dedicated currency specialists, and a 24/7 online platform with best-in-class technology that allows you to complete transfers from any device virtually anywhere in the world. Business customers save with better currency exchange rates and proven solutions geared towards managing and mitigating foreign exchange risk. Our solutions include forward contracts, market orders, rate alert services, and much more - all backed by great technology and great people.
Funds can be transferred via wire transfer, Electronic Funds Transfer (EFT), or ACH payment services. MTFX maintains bank accounts in all major currencies with highly-rated banks. Our banking infrastructure ensures that you can transfer funds to us quickly and securely.
Our global network of banking partners allows us to get funds to virtually anywhere in the world quickly and efficiently. Most wire transfers from MTFX will be received by your beneficiary within 24-48 hours. MTFX also offers same-day transfers that are almost instantaneous, as well as low-cost in-country payment services for your less urgent transfers. For further information please speak to one of our currency specialists.