The loonie has drawn support after....>

DOLLAR-CANADA: The loonie has drawn support after late Friday U.S. Pres Trump

announced that tariffs on Mexico, scheduled to take effect on Monday, are

"indefinitely suspended." USD/CAD has ticked away from lows and last trades at

C$1.3264, a touch lower on the day and at its worst levels since March.

- Earlier today, Canadian FinMin Morneau said that U.S.-Mexico agreement means

that the trilateral USMCA trade deal now has a "clear path" to ratification. He

also noted that Canada's relations with China have reached an "impasse."

- This comes after strong Canadian labour mkt report buoyed CAD on Friday, while

soft NFP data from the U.S. pressured USD, dragging USD/CAD 95 pips lower.

- Bears look for a dip through the Mar 20/19 lows of C$1.3258/51, which would

allow them to set their sights on the C$1.3200 figure, ahead of C$1.3186, which

represents the 76.4% fibo retracement of C$1.3069-C$1.3565. Bulls need a break

above the 200-DMA/Apr 17 low at C$1.3274/75 before challenging the lower 1.0%

10-DMA envelope at C$1.3301.

- Canadian focus this week turns to domestic housing starts & building permits

data, both due on Monday.