- Canada’s third-quarter gross domestic product contracted 1.1% from a year earlier.
- Canada will release its monthly employment report on Friday, which will introduce more noise into USD/CAD.
- USD/CAD advances on the news as CAD suffers from the negative surprise.
Canada’s real gross domestic product (GDP) rose 0.1% month-on-month in September, better than the flat reading anticipated by financial markets. The annualized reading for the third quarter, however, recorded a sharp decline of 1.1%, much worse than the 0.2% gain predicted by financial markets. The quarterly reading registered -0.3%, contraction compared to the 0.3% increase in the second quarter.
On Friday, Canada will release its monthly employment report, in which the unemployment rate is expected to be 5.8%.
USD/CAD rose on the GDP numbers as investors increased bets on a Bank of Canada on hold amid increased recession risk.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.