• Gold plunged by around $50 to just over $1,080 during the course of early trading, hitting its lowest level since Feb 2010
  • All other precious metals are also under pressure, sharp weakness in Gold pushed commodity pack and other major currencies lower against the USD
  • Gold has however recouped over half of these losses during the day, and USD/CAD is tracking recovery in gold prices 
  • Canadian dollar also recovered losses and pushed the USD/CAD to a session low of 1.2952
  • Dovish BoC contrasts with risk of Fed rate hike in Sept, diverging monetary policy path of the c.banks is capping losses in the pair
  • USD/CAD is currently trading at 1.2985, hawkish Fed next week could see the pair higher, 1.35 among bull targets 

The material has been provided by InstaForex Company – www.instaforex.com