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CAD Outperforms Ahead Of Industrial Product Prices

CANADA
  • USDCAD has seen a sharper step lower as the pair continues to unwind a USD step higher in European hours, with CAD again outperforming other peers after a holiday thinned session yesterday.
  • It has pulled back to 1.3515 off a high of 1.3549, remaining below resistance at 1.3568 (May 15 high) throughout after which sits 1.3640 (May 3 high). Support is still the 1.3404 low post-CPI on May 16.
  • To the upside, sizeable option expiry with $1.13b at 1.3600 for today’s NY cut.
  • Ahead, IPPI and less notably raw materials prices for April after headline CPI surprised to the upside last month but core was about as expected but stubbornly strong in M/M terms.

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