Canada: The loonie ignores GDP – TDS

Industry-level GDP was unchanged in February (market: 0.1%) on a muted performance across both goods and services. Unsurprisingly, stale data was ignored by the CAD, economists at TD Securities brief.

Key quotes

“The Canadian economy was on a softer footing than expected heading into the COVID shutdowns, with industry-level GDP unchanged during the month of February (market: 0.1%).”

“Unsurprisingly, the CAD ignored the data. With month-end dynamics the primary focus this week, a stale GDP report was never going to be that interesting to follow anyway.”

“1.3850/00 marks an interim pivot with 1.3725/50 being the next major support level below. The former pivot looks attractive to layer in fresh longs before USD/CAD makes its inevitable push back above 1.40.”