CAD Weekly Review (June 24 – 28)

With a very light economic calendar from Canada, it was oil prices and counter currency flows that lead CAD to a mixed but net positive week.

Canadian Headlines and Economic data

Tuesday:

• Canadian Wholesale sales increased 1.7% to $65.3 billion in April, the fifth consecutive monthly increase
• China tells Canada to stop meat shipments over bogus documents – Not sure if this was the direct catalyst, but this news does correlate with a slight uniform move lower in CAD pairs in the afternoon U.S. session

Wednesday:

• Oil rallies on the session, ahead of the EIA crude oil inventories and after the event as there was a big drawdown to lift oil prices higher. This is likely the catalyst for CAD’s move higher despite a lack of direct influences from Canada.

Thursday:

• Oil slips to $66 ahead of G20, OPEC meeting – Again, no catalysts from Canada, so it’s likely oil’s pullback from the week’s highs pulled down the Loonie with it

Friday:

• Real gross domestic product was up 0.3% in April, following a 0.5% increase in March
• On a monthly basis, the Industrial Product Price Index (IPPI) edged up 0.1% in May, following a 0.8% increase in April
• U.S. oil prices fall, but gain 9% for month with U.S.-China trade talks, OPEC meeting ahead