USD/CAD at 1.0310 as Economy Expands

Canada’s dollar touched a four-day high after a report showed gross domestic product increased at the fastest pace in two years in July, adding to evidence the nation’s economy is rebounding from a second-quarter slowdown.

The currency strengthened versus its U.S. counterpart as Canadian consumer sentiment climbed to the highest in more than two years as employment rose and the country’s housing market remained buoyant, according to the new Bloomberg Nanos Canadian Confidence Index.

“There’s been a significant amount of bearish expectations regarding Canadian growth, and overall it’s been a little bit more positive recently,” said Sebastien Galy, a senior foreign-exchange strategist at Societe Generale SA in New York. “The Canadian dollar has had a tendency to outperform.”


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