Market News

USD/CAD is a few pips higher on this but we knew that some retaliation was coming and this isn't exactly a nuclear bomb. It leaves plenty of time to TACO.

Canada has been ripping off the United States of America for years. Their ridiculously high tariffs on our Farmers and farm products has made life impossible for these great American Patriots, and has long created a 60 Billion Dollar Deficit between our two Countries. Not sustainable, and NOT ANYMORE! On January First, 2027, Tariffs on all Cars, Trucks, both large and small, Automotive Parts, and Steel, will be increased to 50%. Build in the U.S. and there are ZERO TARIFFS. Canada will be treated like a State no longer! On Trade, and in other ways, also, they are among the worst…

The chip and AI sectors are under heavy selling pressure today, with some of the biggest names being hit particularly hard. In my list of AI and semiconductor stocks, Sandisk is leading the declines, down 10.16%. The weakness is broad-based across the chip sector, adding to the pressure on the technology-heavy indices.

That selling is weighing heavily on the broader market, particularly the Nasdaq indices:

• Nasdaq 100: -1.30%
• Nasdaq Composite: -0.90%
• S&P 500: -0.37%

In the video above, I take a technical look at each of those indices, using the same tools to define the bias, risks and targets — three things every trader should be aware of.

The technical picture is a little different for each index. The Nasdaq 100 is the most bearish,…

The USDCAD has moved higher after trade talks between the U.S. and Canada broke down. This morning, USTR Greer said the U.S. offered Canada significant concessions in the latest negotiations, but Canada continued to seek more, contributing to the breakdown in talks. Greer downplayed the broader economic impact, saying the latest tariff measures affect only a small portion of overall U.S.-Canada trade. He also said political considerations played a role in Canada's negotiating stance and reiterated that the U.S. trade deficit with Canada remains an issue for the administration. On the broader U.S. economy, Greer said the fundamentals remain solid and the economy is on a good trajectory.

That is the fundamental storyline. The technical…

The Canadian dollar is the G10 laggard today but its hardly collapsing and that might be a surprise given the 'trade war' rhetoric following the late-Friday collapse of talks with the USA.

USD/CAD is up 76 pips to 1.3840, or 0.55%. 

It's a nice move but it doesn't even get us back to Wednesday's opening levels and I'd argue that a good chunk of today's rise is due to the 1.8% decline in oil prices.

So why doesn't the market move match the rhetoric?

Simply put, not that much was at stake in terms of the latest US tariffs. The measures apply a 50% tariff rate on imports to the US but they only apply on about 5% of Canadian exports to that country. Put differently, more than 80% of of exports will remain duty free under USMCA…

The largest decreases were in chemical and fabricated metal product subsectors.

This article was written by Adam Button at investinglive.com.

The new trading week is underway with the US dollar is modestly higher with the USDCAD moving up the most with a gain of 0.57% after talks with Canada on a trade agreement fell apart. 

As a review, the U.S.-Canada trade talks broke down late Friday, reversing optimism that the two sides were close to a framework agreement.

• The U.S. moved ahead with 50% tariffs on roughly $20 billion of Canadian goods.
• Canada responded with dollar-for-dollar retaliatory tariffs, set to begin September 8.
• Disagreements over steel, aluminum, autos and lumber helped derail the negotiations.
• Both sides blamed the other for introducing unacceptable last-minute demands.
• No new talks are currently scheduled.
• The Canadian dollar weakened on the news, pushing…

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• RBA minutes due Tuesday to detail hike-versus-hold…

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According to CNBC, the US Treasury is considering using its Treasury General Account (TGA), the government's cash account at the Federal Reserve, currently holding nearly $1 trillion, to help finance its recently announced purchases of longer-dated Treasury bonds.

Markets initially assumed the Treasury would fund the bond-buying program by issuing more short-term bills, consistent with Treasury Secretary Bessent's description of the operation as a "Treasury Twist". However, senior Treasury officials indicated that the TGA is also available as a funding source and did not rule out using it.

Using the TGA would significantly increase the Treasury's ability to influence long-term yields because the funds are already available…

The latest U.S. sector-rotation picture through the August 21 close shows Industrials moving into Cooling Off, joining Technology, Consumer Discretionary and Utilities. Energy and Healthcare remain in Heating Up, while Consumer Staples is still in Early Accumulation. The message is not that Industrials must fall, but that market leadership is narrowing and investors are becoming more selective.

Key takeaways

• Important new change: Industrials have moved into the Cooling Off phase.
• Relatively stronger sectors: Energy and Healthcare remain in Heating Up.
• Developing opportunity: Materials are improving, but the evidence is not yet broad enough to confirm a transition.
• Defensive watch: Consumer Staples remain in Early Accumulation, although…

FUNDAMENTAL OVERVIEW

 

Gold surged on Wednesday after the US Treasury announced that it will at least double the size of its liquidity-support buyback operations for longer-dated Treasury securities, increasing the maximum purchase from $2 billion to at least $4 billion per operation.

US Treasury Secretary Bessent then said that part of the operation was sending a message to the market that yields do not reflect underlying fundamentals and added that the buyback could be more than $4 billion depending on conditions.

The Treasury intervention in the market had a QE-like effect by lowering long-term yields and easing financial conditions, although it’s not technically QE. The US…

Global Markets:

●         Asian Stock Markets : Nikkei down 0.50%, Shanghai Composite down 0.71% Hang Seng down 2.14% ASX up 0.50%

●        Commodities : Gold at $4,689.89 (0.23%) Silver at $68.905 (-0.90%), Brent Oil at 91.31 (-1.47%), WTI Oil at 85.64 (-1.63%)

●        Rates : US 10-year yield at 4.709, UK 10-year yield at 5.0666, Germany 10-year yield at 3.2564

News & Data:

●        (USD)      Retail Sales m/m   0.4% to 0.6%   expected

Markets Update:

 Stock futures edged lower Sunday night as investors looked to rebound from a difficult week marked by a sharp rise in Treasury yields. Dow Jones futures fell 44 points, or 0.1%, while S&P 500 and Nasdaq-100 futures declined 0.1% and 0.2%, respectively.

Last week,…

IC – Europe Fundamental Forecast | 24 August 2026

What happened in the Asia session?

Asian markets were cautious, with investors focused on potential new U.S. sanctions on Iran, Strait of Hormuz supply risks, and uncertainty around U.S. monetary and trade policy. Oil fell around 1.5%, while the U.S. dollar remained near multi-month lows, supporting gold, which continued its strong August rally. The CAD weakened amid renewed U.S.–Canada trade tensions, while the AUD and NZD remained relatively firm.

What does it mean for the Europe & US sessions?

The European session could remain relatively subdued because Monday’s scheduled macro calendar is light. The bigger drivers are U.S. sanctions on Iran, Treasury yields, dollar weakness and…