USD strengthened across the G10 after Japanese Prime Minister Shinzo Abe won Japan’s election with a 2/3 majority, resulting in expectations of a weaker yen due to continued accommodative monetary policy from the Bank of Japan.
The greenback also continues to find strength on last week’s US Senate approval of a budget framework for Trump’s planned tax reform.
Also contributing to weakness in the Canadian dollar is today’s miss on Wholesale Sales and last week’s disappointing CPI and Core Retail Sales; markets will wait to see what sort of tone the Bank of Canada will signal on Wednesday.
Crude oil is mixed this morning despite a potential drop in US drilling activity and ongoing production and supply concerns due to tensions between Kurdistan, Iraq, and Turkey. WTI crude is up 0.19% to $51.94 and Brent is down 0.35% to $57.55 at the time of writing.