Daily Afternoon Report 03.10.2016

Daily Afternoon Report 03.10.2016

The U.S. dollar trimmed losses against its Canadian counterpart on today, although higher oil prices continued to support demand for the commodity-related Canadian currency.

The Canadian dollar remained supported as oil prices were hovering near three-week highs on today, still boosted by the production freeze deal announced last week by major oil producers.

Meanwhile, market participants were looking ahead to an upcoming report on U.S. manufacturing activity for further indications on the strength of the economy following Friday’s upbeat data.

The University of Michigan said in a revised report on Friday that its consumer sentiment index hit 91.2 in September, up from a previous estimate of 89.8 and beating expectations for a reading of 90.0.

Data also showed that the Chicago purchasing managers’ index rose to 54.2 this month from 51.5 the previous month, exceeding expectations for an uptick to 52.0.

The loonie was higher against the euro, with EUR/CAD shedding 0.24% to 1.4718.