CAD sees little reaction to strong retail sales data

Canada retail sales data for August was released at 1:30 pm BST. Report turned out to be better than expected but it did not trigger any major moves on the markets. Highlights of the report:

• Headline: 0.7% MoM vs 0.2% MoM expected (-2.5% MoM previous)

• Ex-autos: 0.7% MoM vs 0.3% MoM expected (-3.1% MoM previous)

Next week, the Bank of Canada makes a decision regarding interest rates. The market expects an increase by 75 basis points. Today's data certainly justify the need for another strong rate hike by the BoC.

USDCAD saw relatively small reaction to today’s data releases. The most popular currency pair continued to trade below 1.3850 level. Source: xStation5

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CAD sees little reaction to strong retail sales data

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