Strong UK housing data and an inflation figure which met forecasts allowed the Pound to strengthen against the Canadian Dollar during the European session. The ‘Loonie’ also softened against the US Dollar as weaknesses in the Canadian economy were thrown into relief by US news.
The Canadian Dollar Exchange Rate was in the region of 0.6263 against the British Pound as of 14:45 GMT
Although US retail sales gained by less than anticipated in July, climbing by 0.2 per cent rather than the 0.3 per cent expected, it was still a fourth consecutive monthly advance and a good signal that the US economic recovery is gaining momentum.
June’s gain was upwardly revised to 0.6 per cent.
In response to the data one New York-based currency strategist observed: ‘The numbers are on the positive side, which is something that will help support the Dollar. What we’ve been seeing this week is a rebound in the US Dollar.’
The Canadian economy, on the other hand, has been experiencing setbacks like last week’s disappointing domestic employment report. The unexpected loss of almost 40,000 positions continues to impact the ‘Loonie’.
The CAD/GBP exchange rate hit a high of 0.6245
As industry expert Darcy Browne comments: ‘The market for the time being is a little wary about the Canadian economy, based on the job prints, and I think we’re going to end up having a higher dollar/weaker Canada in the near term.’
As the week progresses Canadian data continues to be a little flat, although Thursday’s domestic existing home sales gauge will be of interest.
Current Canadian Dollar (CAD) Exchange Rates:
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The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9686 <
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7307 >
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6263 <
The Canadian Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0637 >
The Canadian Dollar /New Zealand Dollar Exchange Rate is currently in the region of: 1.2096 <
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.5948 >
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0326 >
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.3688 <
The New Zealand Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.8254 >
The Australian Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.9402 <
(Correct as of 14:45 GMT)
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