• Financial Institutions
  • Corporations
  • Travelers
  • Foreign Bank Note Exchange
  • International Drafts
  • International Wire Transfers
  • Global EFT
  • Foreign Check Clearing
  • Foreign Draft Issuance
  • Travel
  • Technology Companies
  • Payroll
  • Healthcare
  • Nonprofit
  • Partnerships

Currency Market Trend Analysis: October 24, 2017

Ryan October 24th, 2017
Currency Market Trend Analysis: October 24, 2017



Looking For International Payments Solutions?

Get access to our free whitepaper and unlock everything you're missing.


By The Numbers: Your FX Week In Review

Foreign currency value versus USD is decreasing
Foreign currency value versus USD is increasing
*Indicators show the percent change over the past week.

Currency Calendar

Date Releases / Holiday Entity
October 20, 2017 ECB’s Praet Speech EMU
October 20, 2017 Chicago Fed National Activity Index (Sep) USA
October 21, 2017 PMI’s EMU
October 22, 2017 IFO – Business Climate Germany
October 22, 2017 GDP (Q3) UK
October 22, 2017 BoC Monetary Policy Report Canada
October 22, 2017 BoC Interest Rate Decision Canada
October 22, 2017 EIA Crude Oil Stocks Change (Oct 20) USA
October 23, 2017 ECB Interest Rate Decision EMU
October 23, 2017 Jobless Claims USA
October 23, 2017 ECB Monetary Policy Statement and Press Conference EMU
October 24, 2017 GDP (Q3) USA
October 24, 2017 CPI (Q3) USA

Upcoming bank holidays and impactful report releases for select countries.

Market Analysis

CAD/USD - Canadian Dollar

Opened last week at 0.7979 and closed at 0.7923.

The CAD fell by 0.69% against the USD as Canadian data disappointed, despite rising oil prices. CPI rose 0.2% against 0.3% expectations, while retail sales contracted 0.3% and sales excluding the auto sector dropped 0.7% MoM, both below expectations. As a result, market expectations for a rate hike before year end have been cut from 80% to 53%. These data-related woes were exacerbated by Trump-driven concerns over the future of NAFTA. It is unlikely coming off of this data that the BoC will hike rates this week, leaving relatively little Canadian data to affect the market. The CAD may continue to trade lower against the USD in the coming weeks while markets are caught up in potential US tax reform. A BoC rate hike will likely usher back in a return to appreciation. 

1. BoC Monetary Policy Report: Wednesday, October 22nd   

2. BoC Interest Rate Decision: Wednesday, October 22nd   


GBP/USD - British Pound

Opened last week at 1.3284 and closed at 1.3178.

The sterling tumbled by 0.80% against the greenback last week, despite marginally improved wage data, and encouraging statements on Brexit from Angela Merkel. Early in the week, the GBP was hit by a Bloomberg report noting that Brexit negotiations could be headed for a breakdown if the EU refuses to compromise. GBP volatility is on the rise, driven by fears that further breakdowns in Brexit negotiation could hurt PM May’s tenuous position. Fears that May cannot convince her party to unify were exacerbated when Home Secretary Rudd contradicted May’s statement that no deal is better than a bad deal. These concerns were partially assuaged when European Council President Donald Tusk stated that “they succeeded at today's summit to rebuild an atmosphere of trust with the UK on Brexit”. This week’s movements will depend largely upon the results of Wednesday’s GDP data, as well as further Brexit developments. 

1. GDP (Q3): Wednesday, October 22nd      


EUR/USD - European Central Bank Euro

Opened last week at 1.1810 and closed at 1.1769.

Over the past week, the Euro depreciated by 0.34% against the USD, as Catalan-related political uncertainty continues to grow, and the USD received a boon from a step towards tax reform. This week focus will primarily lie on the Monetary Policy Statement and any forward guidance relating to the EMU tapering program. The current expectation is that the ECB will prolong asset purchasing beyond Dec, but cut the volume by $10bil a month, starting in January, until the program ends. EUR political uncertainty peaked over the weekend as the Spanish government invoked Article 155, allowing the takeover of the Catalan government. A House vote is expected this Friday on the Article. Catalan President Puigdemont has stated that he will declare independence if Article 155 goes into effect. The EUR is likely to trade lower throughout the week as Catalan uncertainty mounts.  

1. ECB’s Praet Speech (EMU): Monday, October 9th    

2. PMI’s (EMU, Germany, France): Tuesday, October 21st      

3. ECB Interest Rate Decision (EMU): Thursday, October 23rd       

4. ECB Monetary Policy Statement and Press Conference (EMU): Thursday, October 23rd         


Charts: TradingView


FX Market Pro

Corporations & Financial Institutions: Want to get ahead of the curve for the upcoming week? Get CXI's currency market trend analysis sent directly to your inbox weekly.

About the Author

Collin McAliley

 Collin McAliley - Financial Analyst

Collin educates corporate clients on foreign currency markets lending industry best practices that enhance client knowledge and create specialized solutions that fit each business. Interested in having a custom international payments strategy or foreign exchange risk plan?



About Currency Exchange International
Currency Exchange International (CXI) is a leading provider of foreign currency exchange services in North America for financial institutions, corporations and travelers. Products and services for international travelers include access to buy and sell more than 90 foreign currencies, multi-currency cash passports, traveler's cheques and gold bullion coins and bars. For financial institutions and corporations, our services include the exchange of foreign currencies, international wire transfers, global EFT, the purchase and sale of foreign bank drafts, international traveler's cheques, and foreign cheque clearing through the use of CXI's innovative CEIFX web-based FX software www.ceifx.com


Disclaimer: All product names, logos, and brands are property of their respective owners. All company, product and service names used in this website are for identification purposes only. Use of these names, logos, and brands does not imply endorsement.



This publication has been prepared by Currency Exchange International for informational and marketing purposes only. Opinions, estimates and projections contained herein are our own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed reliable, but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which Currency Exchange International, its affiliates or any of their employees incur any responsibility. Neither Currency Exchange International nor its affiliates accept any liability whatsoever for any loss arising from any use of this information. This publication is not, and is not constructed as, an offer to sell or solicitation of any offer to buy any of the currencies referred to herein, nor shall this publication be construed as an opinion as to whether you should enter into any swap or trading strategy involving a swap or any other transaction. The general transaction, financial, educational and market information contained herein is not intended to be, and does not constitute, a recommendation of a swap or trading strategy involving a swap within the meaning of U.S. Commodity Futures Trading Commission Regulation 23.434 and Appendix A thereto. This material is not intended to be individually tailored to your needs or characteristics and should not be viewed as a "call to action" or suggestion that you enter into a swap or trading strategy involving a swap or any other transaction. You should note that the manner in which you implement any of the strategies set out in this publication may expose you to significant risk and you should carefully consider your ability to bear such risks through consultation with your own independent financial, legal, accounting, tax and other professional advisors. All Currency Exchange International products and services are subject to the terms of applicable agreements and local regulations. This publication and all information, opinions and conclusions contained in it are protected by copyright. This information may not be reproduced in whole or in part, or referred to in any manner whatsoever nor may the information, opinions and conclusions contained in it be referred to without the prior express written consent of Currency Exchange International.


Tags: Ceifx, Resources