In May, Canada had an unexpected international trade deficit.
Below 1.2400, the USD/CAD is trading in the red.
According to Statistics Canada figures released on Friday, Canada had a C$1.4 billion international merchandise trade imbalance in May. This result was lower below the market’s forecast of a C$0.37 billion surplus.
“In May, merchandise imports in Canada grew by 2.1 percent, while exports declined by 1.6 percent,” according to the report. “The average value of the Canadian dollar gained 2.4 cents US to 82.5 cents US in May, compared to 82.4 cents US in April. Since July 2017, this was the greatest monthly rise. In US dollars, Canadian imports increased by 5.2 percent in May, while exports increased by 5.2 percent “e 1.4 percent e 1.4 percent e 1.4 percent e 1.4 percent
The USD/CAD pair was last quoted at 1.2392, down 0.33 percent on the day. However, rather than CAD strength, this dip appears to be a result of fresh USD weakness./n
