Equity markets clinging to new highs

Equity markets clinging to new highs, ironically driven by “green” stocks and by energy stocks at the same time. Tesla shares rose 7% this morning after Morgan Stanley hiked its forecast to $1200 a share, and Hertz rent a car has said it will place orders for 100K Teslas. Energy stocks opened higher as West Texas Intermediate crude futures touched $85 per barrel. Shares of Exxon Mobil and Diamondback Energy rose more than 1%.

This week sees a large number of Q3 earnings reports that will hopefully add steam to an a very hot market.

The Canadian dollar is unchanged with a slightly weaker bias, the Bank of Canada releases its quarterly monetary policy report along with its interest rate announcement on Wednesday, expect no rate hike but chances that the BoC will be hiking rates sooner than later.

Expect a narrow range.

Currently*          Close                     Range

USDCAD               1.2380                   1.2367                   1.2339-1.2388                   

EURCAD               1.4368                   1.4368                   1.4338-1.4412

GBPCAD               1.7041                   1.7012                   1.6999-1.7038

*Indicative Rates Only