MNI BRIEF: Canadians Fuzzy On How BOC Hikes Slow CPI, Government's Role

CANADA FLASH MAY GDP +0.1% ON FACTORIES AND REAL ESTATE

MNI China Daily Summary: Friday, June 28

MNI BRIEF: BCB Evaluating Real Depreciation Impacts - Galipolo

MNI BRIEF: PBOC Pledges to Curb Any Overshoot Of The Yuan: MPC

MNI: PBOC Net Injects CNY40 Bln Via OMO Fri; Rates Unchanged

MNI: BAKER HUGHES US RIG COUNT 581; OIL RIGS 479; GAS RIGS 97

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

EZ/UK Bond Supply Calendar: BoE APF on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

USDCAD Little Changed As Retail Sales Disappoint In March But With Flash April Hope

CANADA
Homepagemarkets-real-timeBulletMarketsFixed Income BulletsForeign Exchange Bullets
  • USDCAD is little changed at 1.3712 after mixed Canadian retail sales and US durable goods (beat in April but with offsetting downward revisions).
  • It holds a tentative decline away from yesterday’s high of 1.3744 which stopped just short of 1.3748 (Fibo retracement of Apr 16-May 16 bear leg) after which lies a more notable 1.3785 (Apr 30 high).
  • Retail sales were close to expectations in March at -0.2% M/M (cons -0.1, advance 0.0) but ex autos disappointed (-0.6% after -0.2%) as did core sales (-0.6% after +0.1%).
  • Overall volumes offered a similar picture to those trimmed metrics, falling -0.4% M/M. It followed some mixed revisions (upward in Feb, downward in Jan), with the 3m/3M trend rate easing to 1.1% annualized for its softest since Oct.
  • However, helping to largely offset the March gloom, the April advance estimate is indicated at a 0.7% M/M increase, which if realized would be the strongest nominal increase since September.
  • Further, and in a separate release, manufacturing sales were also indicated to bounce a reasonable 1.2% after the -2.1% in March.
  • All together, the releases have done little to change BoC pricing which continues to sit at circa 16bps of cuts for next month as broadly seen since Tuesday's CPI.
203 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • USDCAD is little changed at 1.3712 after mixed Canadian retail sales and US durable goods (beat in April but with offsetting downward revisions).
  • It holds a tentative decline away from yesterday’s high of 1.3744 which stopped just short of 1.3748 (Fibo retracement of Apr 16-May 16 bear leg) after which lies a more notable 1.3785 (Apr 30 high).
  • Retail sales were close to expectations in March at -0.2% M/M (cons -0.1, advance 0.0) but ex autos disappointed (-0.6% after -0.2%) as did core sales (-0.6% after +0.1%).
  • Overall volumes offered a similar picture to those trimmed metrics, falling -0.4% M/M. It followed some mixed revisions (upward in Feb, downward in Jan), with the 3m/3M trend rate easing to 1.1% annualized for its softest since Oct.
  • However, helping to largely offset the March gloom, the April advance estimate is indicated at a 0.7% M/M increase, which if realized would be the strongest nominal increase since September.
  • Further, and in a separate release, manufacturing sales were also indicated to bounce a reasonable 1.2% after the -2.1% in March.
  • All together, the releases have done little to change BoC pricing which continues to sit at circa 16bps of cuts for next month as broadly seen since Tuesday's CPI.