The loonie has come under pressure again today after another bigger than expected drop in Canadian retail sales further highlighted the negative impact the oil price crash and layoffs in the oil patch are having on the Canadian economy. This once again increases the pressure on the Bank of Canada to cut interest rates again at its next meeting even though its current closest comparable, Norges Bank, held rates steady this week. CAD’s selloff combined with another 1% drop in Brent crude has been dragging NOK back down today. In contrast, NZD and AUD which are sensitive to resources but not oil, have been having a banner day soaring to the top of the league on better than expected numbers out of New Zealand overnight. Stock markets meanwhile are on the rebound today with European indices leading the way, particularly the Dax which has climbed back above the 12,000 level. Reports out of yesterday’s summit meeting that Greece could start to receive funding again next month in exchange for a more detailed list of reforms has eased political and financial fears for now, also helping to boost EUR and enabling the Greek treasury yields to fall back under 11%. Gold is holding on to its recent gains and trading slightly higher again today. This appears to be on a combination of USD softening once again and focus in Europe turning back from its political problems to the ECB stimulus rollout. Corporate News Nike $0.89 vs street $0.85 Economic News Economic reports released overnight and this morning include: Canada consumer prices 1.0% as expected Canada core CPI 2.1% as expected Canada retail sales (1.7%) vs street (0.8%) Canada retail ex auto (1.8%) vs street (0.5%) Germany producer prices (2.1%) vs street (2.0%) NZ job ads 0.7% vs previous (1.1%) NZ consumer confidence 124.6 vs previous 124.0 Economic reports due later today include: FOMC members Lockhart and Evans speaking