FX Action: USD-CAD has recouped to around 1.3200
FX Action: USD-CAD has recouped to around 1.3200 after posting a new six-week low on Tuesday, at 1.3134. A near 4% decline in oil pries from Tuesday's peak, which was catalysed by the departure of hawkish-on-Iran U.S. national security advisor, John Bolton, has weighed on the Canadian currency relative to its U.S. counterpart and other commodity currencies, which have for the most part been benefiting from the improved backdrop of risk appetite in global markets. The divergence has lifted AUD-CAD into six-week terrain, with the cross showing a gain of nearly 1% from week-ago levels. The cross has been in a distinct bear trend since April, so the rebound may be tempting for contrarian speculators (though AUD-JPY would surely be a better route). USD-CAD has resistance at 1.3234-35.