USD/CAD is trading at 1.29654, 0.19% down since previous day close. The Canadian Dollar lost the momentum on Monday following a downside in Oil prices since they share a direct correlation. Also, the strong USD after a rise in U.S CPI rate aggravates inflationary issues weakens the other currencies. Globally, the worsening situation between Russia & Europe over Oil & gas ban issues & escalating Covid-19 cases in China supports USD & softened the other currencies. The result of Housing Starts & Manufacturing Sales data will remain in focus for the day. As seen in the chart, the pair is trading above the MA (10) & MA (20) which indicates the chances of further selling in CAD against the USD.

Silver is trading at $20.992, 0.12% down since previous day close. The stronger USD & rising bond yields led riskier assets like Gold & Silver to trade on widely lower side since last week. Besides this, the mounting Covid-19 cases in China; leading to lockdown phases in few cities affected consumption demand of Silver since China is a major consumer of metals. This further suppresses the prices of Gold & Silver. The FOMC’s aggressive rate hike stance in order to control the inflationary pressure drifted down the precious metals. The speech of Fed Powell due on Tuesday will remain in focus for the day. Selling on rallies may be recommended for the day in Silver.

CHNIND is trading at 6744, 0.08% down since previous day close. The Asian shares seem to be trading flat to downside amid mixed global cues. The Chinese Retail Sales fell by 11.1% much weaker than expected fall of 6.2% & the Industrial Production dropped by 2.9% versus 5.0% in the previous month. These led slight selling pressure in CHNIND. The worsening Covid-19 situation in the country pressurizes the index. On global front, the U.S showed a rise in CPI rate which worsens the growing inflationary tension & may contribute into more aggressive Fed rate hike stance in near future. As seen in the chart, the index is trading near MA (20) & Fibo level 23.6 which acts as major resistance level & hence slight selling bias may be maintained for the day.