Canada is not only about oil: growth in Q3 came out an annualized 2.8%, after an upwardly revised 3.6% in Q2. Month over month, a growth rate of 0.4% was recorded, as expected.
USD/CAD is sliding down from nearly 1.14. Update: the dip sent it 1.1360 but the pair is now bouncing back up.
Canada was expected to report a growth rate of 0.4% in September, after a disappointing 0.1% drop in August. This is the last monthly report for Q3. For the quarter, an annualized growth rate of 2.1% was predicted.
The Canadian dollar has been on the fall alongside oil prices following the OPEC decision to leave quotas unchanged. Canada’s oil prices are at multi-year lows.
Canada also releases the industrial product price index (IPPI) which carried expectations for a fall of 0.4% in October, following a drop of the same scale in September. The actual number is -0.5%. The Raw Material Price Index (RMPI) was expected to fall by 2.5% following 1.8% beforehand. The actual number is -4.3%, significantly worse than expected.
Opinion: CAD: Hitching A Ride – Credit Agricole
