USDCAD remains locked in a rising.....>

DOLLAR-CANADA: USDCAD remains locked in a rising wedge chart pattern with the

May 9 high & triangle top at 1.3500/05 proving hard to overcome. Focus turns to

domestic CPI at the bottom of the hour with RBC forecasting a 2.0% y/y increase

in April headline inflation due to continued moderation in year-ago gas price

declines (expected close to flat). The bump up in the BoC's core measures in

March - 0.2pp from the originally reported February levels for CPI-Median and

CPITrim - got an outsized reaction given a very tight range (1.82.0%) since

early 2018. Easier base effects suggest some risk of another rise, but we think

it's more likely there is little change from last month's average (1.97%). Last

C$1.3475.