The Canadian GDP report caused stronger fluctuations in the USD/CAD exchange rate. The Loonie fell against the US Dollar 0.07% or 9 base points to the 1.2270 level.
Canada’s economy expanded by the greatest extent in six months in November amid broad-based activity in manufacturing and other sectors, keeping the Central Bank on track to hike rates again. Statistics Canada stated that the country’s gross domestic product increased 0.4% after being flat in October. Growth in the extraction of gas and oil, as well as real estate and retail sector contributed to the strong result. A solid economic expansion is likely to prompt the Bank of Canada to raise rates again, with the most of the odds for the hike by May.
