The Canadian economy grew by 0.3% in April. Canada is unique with publishing GDP reports every month rather than every quarter.
Early expectations were for a growth rate of 0.2% following a mere 0.1% in March. USD/CAD is sliding after the publication, and is dropping towards support.
Update: the move extended – USD/CAD fell below 1.0230 and continued below 1.02. Also other currencies are gaining against the greenback.
USD/CAD fell to support following the encouraging results from the EU Summit. Support at 1.0230 held very nicely after a drop from very close to the 1.0360 line.
Canada’s Raw Materials Price Index for May dropped by 1%, slightly better than expectations that stood on -1%. The Industrial Product Price Index (IPPI) remained unchanged. It was expected to rise by 0.1%.
For more about the loonie, see the Canadian dollar forecast.
In the US, a series of small disappointments was recorded in second tier indicators:
Personal spending remained unchanged, +0.1% was expected. Personal income rose by 0.2%, falling short of +0.3%. The Core PCE Price Index rose by only 0.1%, lower than 0.2% that was predicted.Get the 5 most predictable currency pairs