The Canadian dollar is flat at mid day against the US dollar. This is somewhat surprising given that USD is up significantly against other currencies and oil is down 2.6%. One measure of labour productivity in Canada came in well above expectations but that is unlikely to be the explanation for today’s relative strength in the Canadian dollar. Regardless, after yesterday’s decline during the day, the Loonie has now pulled back slightly from eight month highs against the Greenback. There are two important economic data points expected tomorrow and Friday which may set the tone for the trading sessions after the long weekend. Balance of trade figures both in the US and Canada will be released tomorrow morning and employment figures will be out on Friday in both countries.
