During early Asian deals on Tuesday, the Canadian dollar declined against its major counterparts. The loonie plummeted to a 5-day low against the yen and it eased from a 6-day high against the aussie.
The Canadian trade balance and new housing price index- both for February are due for release at 8:30 am ET.
The Canadian dollar that closed yesterday’s trading at 93.06 against the yen fell to a 5-day low of 92.36 in early Asian deals on Tuesday. As of now, the loonie-yen pair is worth 92.40 with 92.0 seen as the next downside target level.
An index measuring domestic corporate service prices was down 1.3 percent on year in March, the Bank of Japan said today, coming in at 102.6. That was slightly below forecasts for a 1.1 percent annual contraction following the 1.5 percent fall in February.
On a monthly basis, corporate service prices were up 0.2 percent, in line with expectations for a 0.3 percent gain after the 0.1 percent increase in February.
During early Asian deals on Tuesday, the Canadian dollar slipped to 1.0049 against the US currency and 1.3657 against the euro. If the loonie weakens further, it may likely target 1.376 against the euro and 1.009 against the greenback. At present, the loonie is worth 1.0040 against the greenback and 1.3644 against the euro, compared to yesterday’s close of 1.0025 and 1.3627, respectively.
The German CPI and the wholesale price index- both for March, French current account for February and CPI for March are expected in the upcoming European session.
The US trade balance for February and the import and export price indexes for March have been scheduled for release in the New York morning.
The Canadian dollar that rose to a 6-day high of 0.9268 against the Aussie at 5:55 pm ET Monday eased thereafter. Currently, the loonie is trading near yesterday’s close of 0.9298 against the aussie. The next downside target level for the loonie is seen at 0.942.