Today’s US PPI report revealed slightly stronger than expected gains in November of 0.1% in the headline and a 0.3% in the core index that left y/y readings at 2.5% and 2.7%. The rise reflected a 0.3% gain in services prices but a 0.4% decline in goods prices, with the latter depressed by a 5.0% decline in energy prices that included a 14% plunge in gasoline prices. Expectations are now for:
USDCAD has turned down from the key 1.3400 resistance level earlier in the day. Support is the daily pivot at 1.3368 and the 200-period moving average and S1 at 1.3325. Correspondingly, US has rallied over 2% today from morning lows at $50.80 to R1 and the 200-period moving average at $52.20..
- A flat December PPI headline reading and a 0.1% in core prices for y/y gains of 2.5% and 3.0%.
A flat reading for headline CPI and a 0.2% rise for the core.
A flat November PCE chain price figure with a 0.1% core price gain.
A 1.7% drop in November trade price reading for imports and a 0.5% decrease for exports.
USDCAD has turned down from the key 1.3400 resistance level earlier in the day. Support is the daily pivot at 1.3368 and the 200-period moving average and S1 at 1.3325. Correspondingly, US has rallied over 2% today from morning lows at $50.80 to R1 and the 200-period moving average at $52.20..