The market seemed to yawn at all the good news, giving no strength to the CHF against the USD. In a market where everyone seems to have skipped town and avoided a discussion on risk altogether, neither embracing it nor rejecting it, this behavior caught my eye.

Will the lag in reaction happen with the CAD as well?

Retail Sales for the Loonie came into positive numbers on their Retail Sales going from a previous -.8% up to 1.2%, Wholesale Sales at least became a less negative number by .3%, going from -.6% to -.3%. There was quiet and dignified praise apparent in their monetary policy talks at the rate decision this week (http://www.bank-banque-canada.ca), specifically in terms of how well inflation has been kept in check.

So, even though the CAD has nudged a little higher on this news, it hasn’t done so with gusto. In fact it seems that the market had a crystal ball and in priced in CAD strength last week.

This leads me to believe that it may be due for a bounce to the USD side, in the short term.