- The USD / CAD pair is holding on to modest daily gains above 1.2100.
- The US Dollar Index rises towards 90.50 on Friday.
- Core PCE inflation in the US rose more than expected in April.
The pair USD / CAD it continued to rise at the beginning of the American session and reached a daily high of 1.2120 before entering a consolidation phase. At time of writing, the pair was up 0.34% on the day at 1.2105.
The USD seems to end the week stronger
Data released by the U.S. Bureau of Economic Analysis revealed on Friday that the Basic Personal Consumption Spending (PCE) Price Index, the Fed’s preferred indicator of inflation, rose to 3.1% annually in April from 1.9 %. This reading was higher than the market expectation of 2.9% and helped the USD preserve its strength against its rivals. Currently, the US Dollar Index is up 0.42% on the day at 90.38.
Other data from the US showed that personal spending in April increased 0.5% as expected and personal income decreased 13.1%.
Later in the session, the University of Michigan will release the final revision of its Consumer Sentiment Index for May.
Meanwhile, a barrel of West Texas Intermediate (WTI) is posting modest daily gains above $ 67, helping the commodity-related CAD limit its losses for the time being.
Technical levels
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