The USD to CAD exchange rate is steady this morning as markets gear up for a shortened week with the Canada Day holiday on the horizon. Trading is choppy and prices are fluctuating quite a bit but oil is up 1% and equities are indicated to open up flat to up after losing substantial ground on Friday. Market sentiment is caught between optimism for a quick recovery aided by massive stimulus and the resurgence of Covid as an ongoing economic threat. There is quite a bit of economic data this week that could provide clues as to the shape of the recovery, both in Canada and the US. In Canada, tomorrow’s April GDP figure will be especially closely watched with consensus expectation of a month over month 13% drop in economic activity in April.
