On per week that has been dominated by GDP prints from an economic release point of view, the last has seen a better than expected reading from Canada. A 0.6% increase month on month was above both the consensus forecast of 0.3% and the prior studying of Zero.three%.
There was a detailed correlation over the previous 6 years between the GDP print in Canada and the extent of oil extraction. What we will clearly see right here is that the current rebound seen within the value of oil over the previous 12 months has led to a choose up within the quantity of extraction and in flip boosted GDP.
Brent Oil (-Zero.04%) is little modified on the day however the market is about for its largest weekly rise of the yr and will counsel additional power within the Canadian economic system going ahead. The rapid response out there has seen the Canadian greenback spike larger with USDCAD (-Zero.34%) falling to its lowest degree of the day.