- USD / CAD is struggling to achieve bullish momentum after Thursday’s modest rally.
- The US Dollar DXY Index continues to fluctuate below 92.00 on Friday.
- Investors are expecting US PCE inflation data for May.
The USD / CAD pair managed to post modest recovery gains on Thursday and remained relatively quiet during the Asian session on Friday. However, the pair has started to move lower ahead of the American session, trading around 1.2309 and losing -0.11% on the day.
The focus is on the US inflation data.
Following Thursday’s mixed macroeconomic data from the United States, comments from FOMC policymakers on the outlook for monetary policy helped the USD remain resilient against its rivals. Dallas Fed Chairman Robert Kaplan noted that there is an upside risk to his forecast of 3.4% inflation this year and St. Louis Fed Chairman James Bullard argued that authorities should take into account new inflation risks in the coming months.
The US dollar DXY index, which closed the previous day at 91.81 points, is currently recording small losses at 91.75, allowing the USD / CAD to remain in negative territory.
Later in the session, the US Bureau of Economic Analysis will release the core PCE personal consumption expenditure price index, the Fed’s preferred gauge of inflation, for May.
There will be no high-level data release on the Canadian economic calendar.
Meanwhile, a barrel of West Texas Intermediate WTI trades with small daily losses around $ 73.00, which limits the gains of the CAD, a currency related to the prices of raw materials.
USD / CAD technical levels
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