Canada GDP

The Canada GDP for August will be released at 8:30 AM EDT.  The expectation for the month is for a decline of 0.4% for the month after a 0.7% increase in July.  Going forward the weaker Canadian dollar should help export growth but the lower price of oil as well as slower spending in the US should contineue to weigh on the Canadian economy. 

The USDCAD has been quite volatile the last few days.  It is month end and there is rumblings that rebalancing of portfolios may continue to make action in the USDCAD volatile today.  Be aware of some oversized short term moves.  

The Canada GDP for the month of April will be released at 8;30 AM EDT.  The last two months have shown declines of -0.2% and -0.3% respectively.  In the first quarter of the year, the Canada economy shrank by 0.3% annualize rate.  This was the first drop in 5 years. 

For the 1st month of the new quarter the expectation is for a rise of 0.3%

Comes in at -0.2% M/M   The 1st quarter comes in at -0.3%. Weaker than expectation.  Also out of Canaa the Industrial Production comes in at 1.4% versus 1.0 Expected.  Canada dollar weakens off the weak GDP. 

Slower auto production led the decline along with slowing in exports due to the slow US growth and the stronger CAD which makes exports more expensive abroad. 

0.6% is better than expected (0.5% expected).  Car manufacturing and wholesale trade give a boost.  Nearly reverses the 0.7% decline from December. 

USDCAD ignores the stronger economic data and moves to new highs at 1.0268.

Canada releases their monthly Gross Domestic Product statistic for the month of December at 8:30 AM.   

Last month the measure rose by a modest 0.1%.