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CAD Underperforms High Beta Peers As GDP Data Still Weighs

CANADA
  • USDCAD has dropped to session lows of 1.3215, but CAD clearly underperforms other high beta peers considering a backdrop of WTI pushing higher after last week’s push above $80/bbl and the S&P e-mini pushing back towards Friday’s high after overnight pressure.
  • Underperformance seems likely tied to Friday’s monthly GDP data and specifically the softer momentum heading into Q3 judging by the June advance of -0.2% M/M.
  • The pair had earlier cleared Friday’s high with 1.3262 to move closer to resistance at the 50-day EMA of 1.3286 and lift further from a bear trigger at 1.3093 (Jul 14 low).

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