Economic Events: (GMT)
11:30 USD 3-Month Bill Auction
The figures displayed in the calendar represent the rate on the treasury bill auctioned. U.S. Treasury Bills have maturities of a few days to 52 weeks and are sold to institutional and individual investors through public auctions to finance the public debt. The rate on a Treasury bill represents the return an investor will receive by holding the bill its entire duration. All bidders receive the same rate at the highest accepted bid. Yield fluctuations should be monitored closely as an indicator of the government debt situation. Investors compare the average rate at auction to the rate at the previous auction of the same security and to an average of the past 10 to 12 auctions of that security.
08:30 CAD Leading Indicators (MoM)
The Leading Indicators Index is a composite index based on 10 economic indicators, that is designed to predict the future direction of the economy. The report tends to have a limited impact because most of the indicators used in the calculation are released previously.
A higher than expected reading should be taken as positive/bullish for the CAD, while a lower than expected reading should be taken as negative/bearish for the CAD.
Analysis and Recommendations:
The USD/CAD is currently trading 1.0141 +0.0032 (+0.32%)
The Canadian dollar weakens further after December’s much weaker CPI report. The US dollar is at C$1.0141, having traded briefly above C$1.0160 after the release. Crude Oil is also dropping in today’s trading which will weaken the Canadian Dollar. This might present an opportunity, as the USD seems to be gathering some strenght in afternoon trading.
Upcoming Govt Bond Sales Dates
Jan 23 10:10 Norway Nok 6.0bn 4.25% May 2017 bond
Jan 23 10:10 Slovakia Auctions Apr 2014 bond
Jan 23 10:30 Germany Eur 3.0bn Jan 2013 Bubill
Jan 23 12:00 Norway Details bond auction on Jan 30
Jan 24 09:30 Netherlands Eur 1.5-2.5bn Jan 2013 & Jan 2042 DSL
Jan 24 09:30 Spain Auctions 3 & 6M T-bills
Jan 24 16:30 Italy Details CTZ/BTPei on Jan 26 & BOT on Jan 27 &
Jan 24 18:00 US Auctions 2Y Notes
Jan 25 10:10 Sweden Nominal bond auction
Jan 25 10:30 Germany Eur 3.0bn 3.25% Jul 2042 Bund
Jan 25 16:30 Italy Details BTP/CCTeu on Jan 30
Jan 25 18:00 US Auctions 5Y Notes
Jan 26 10:10 Italy Auctions CTZ/BTPei
Jan 26 18:00 US Auctions 7Y Notes
Jan 27 10:10 Italy BOT auction