There was a positive economic data released from Canada today but it proved to be of little help to the nation’s currency. While the Canadian dollar was surprisingly weak for the whole day, now it has even more reasons to go down as prices for crude oil backed off after the initial rally.
Earlier today, oil prices rallied, but the rally has come to an abrupt end after data showed an increase of US inventories of crude. Unsurprisingly, this was not helpful to the loonie at all. The fact that Canadian wholesale sales rose as much 2.0% in December, whereas forecasters had predicted almost no growth, had little impact on the currency.
USD/CAD rose from 1.3667 to 1.3748 as of 21:02 GMT today. CAD/JPY dropped as much as 1.1% from 83.41 to 82.38.
If you have any questions, comments or opinions regarding the Canadian Dollar,
feel free to post them using the commentary form below.