Last week’s high: CA$1.618
Last week’s low: CA$1.588
Canadian Dollar Sinks as US-China Trade Tensions Weigh on ‘Loonie’
The Pound edged higher against many of its peers last week after the UK average earning figure for June beat forecasts, rising from 3.6% to 3.8% – the most significant increase in 11 years.
UK inflation figures also surpassed expectations on Wednesday, coming in at 2.1% and further bolstering confidence in the UK economy despite ongoing fears for a no-deal Brexit.
Meanwhile, the Canadian Dollar struggled as US-China trade tensions reduced demand for trade-correlated currencies.
CAD Outlook: Canadian Dollar Could Rise on Improving BoC Inflation Figures
Looking ahead to next week, the Canadian Dollar could pick up if the Bank of Canada’s (BoC) inflation figures improve in June.
However, with forecasts looking gloomy, we could see Sterling cling to recent gains.
Sterling traders will be focusing on Brexit headlines and Wednesday’s UK public sector net borrowing figures for July.
Friday will see the release of the Canadian retail sales figures for June. An uptick in consumer spending would be CAD positive.
13:30 Canadian Manufacturing Shipments (Jun)
09:30 UK Public Sector Net Borrowing (Jul)
13:30 Canadian BoC Consumer Price Index (Jul)
09:30 UK BBA Mortgage Approvals (Jul)
13:30 Canadian Retail Sales (Jun)