Canada’s Economy Grows 0.1% in October, Inflation is Weak

The Canadian economy grew by 0.1% in October. A rise of 0.1% in GDP was expected. The economy stalled in September and dropped by 0.1% in August. While growth is certainly unexciting, Canada maintains a low unemployment rate.

USD/CAD is ticking higher.

Inflation remains tame in Canada: the Consumer Price Index dropped by 0.2%, falling short of expectations for staying flat. Core CPI, which is closely watched by the BOC, remained flat, falling short of expectations for a 0.2% rise.

The Canadian dollar is now weakening against the greenback, with USD/CAD rising to around 0.9920. The pair recently rejected the 0.98 support line.

For more, see the Canadian dollar forecast.

In the meantime, the US published a big bulk of figures, including durable goods orders and personal spending. The figures came out better than expected, but failed to cheer the markets.

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