Dollar/CAD was relatively stable amid the global storm triggered by Turkey. Hopes for a NAFTA deal continued underpinning the Canadian Dollar. What’s next? The retail sales report stands out. Here are the highlights and an updated technical analysis for USD/CAD.
Turkey was the center of attention as the crisis there triggered fear of a wider slowdown in emerging markets. While the Australian and New Zealand dollars dropped, the Canadian one was stable and enjoyed the ongoing NAFTA negotiations.
USD/CAD daily chart with support and resistance lines on it. Click to enlarge:
Updates:
Wholesale Sales: Tuesday, 12:30. Sales at the wholesale level reflect expectations for sales at the retail level which already represent the broader economy. The volume of wholesale sales increased by a robust 1.2% in May, double the expectations. We will now get the figures for June.
Retail Sales: Wednesday, 12:30. Canada usually releases the retail sales report alongside the inflation data. This time, the important consumer figure has the all the attention. The report for May was quite encouraging with headline retail sales advancing by 2% and core sales moving up by 1.4%. The publication for June may see a setback.
Corporate Profits: Thursday, 12:30. PRofits of Canadian corporates rose by 2.7% in Q1 2018 after dropping in the last quarter of 2017. The report for Q2 may show another increase.
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