Canadian Manufacturing bringing the Loonie down
Monday bought further woes to the Canadian Dollar as the latest round of manufacturing data was released. Canada has been on the back foot recently and although low Oil and energy prices have been the main cause of the loony’s decline, the Manufacturing sector has been adding to the countries woes.
The figures were forecast to show expansion of around 0.3%. This would have been a welcome respite for the Loonie as their manufacturing sector has been lagging recently. Sadly, for those of you looking to sell your Canadian Dollars, it was a disappointing result as it missed the forecast, actually showing a decline of 1.5%.
UK Inflation remains low
After a poor day for Canada yesterday, the GBP/CAD exchange rates were rising into the 2.03 levels nicely and looked to continue to new highs. Today sterling’s march was stopped abruptly when the latest UK inflation figures were released.
The latest figures showed the UK is still in negative inflation with the latest numbers matching the previous months figure of -0.1%. This may have had a larger than normal effect, as it is still up for debate as to when the Bank of England will raise interest rates. This being one of the most important inflation figures, they are watched very closely and can have a large effect on the exchange rates.
Looking at the rest of the week, there are a couple of influential pieces of data that could move the exchange rates further. The main releases for the GBP/CAD cross over the rest of the week are UK retail sales, along with wholesale sales from Canada on Thursday.
We end the week with some minor data from the UK, in the form of Public sector net borrowing but the most important releases will be from Canada. The afternoon will bring both Core CPI numbers and Core Retail sales from Canada.
If you would like to know more about how these may effect your currency purchase, get in touch today on the details below.
If you are looking to buy or sell Canadian Dollars in the near future, the amount you pay for your currency is changing constantly. We allow you to lock into a rate of exchange for up to two years into the future. This means you know exactly what it will cost you, allowing you to budget effectively.
Opening a trading facility does not cost or obligate you in any way and only takes a couple of minutes online. Alternatively, if you just want a free quote on your currency purchase, contact me directly on the details below.