Canada’s building permits dropped by 5.1%. This is a significant disappointment, as expectations stood on a rise of 1.3%. The fall was only very marginally cushioned by a revised rise of 2.6% last month, slightly higher than a rise of 2.4% that was initially reported.
The building permits figure is very volatile in Canada. Nevertheless, it serves as an important gauge of the economy. So, this fall prevented USD/CAD from falling below the 0.97 line – a very stubborn support line.
For more Canadian events a technical analysis for USD/CAD, see the Canadian dollar forecast.