Loonie erases gains on soft GDP report

The Canadian dollar erased most of its gains after the February GDP report showed a monthly decline of -0.1%, missing expectations of a flat reading, while the year-over-year print came in at 1.1%, down from 1.6% much softer than the 1.4% eyed.  Continued weakness in the mining,oil and gas sector saw a 1.6% monthly decline.  Transport and warehousing also gave the worst decline since 2011.  Overall output contracted in 9 of the 20 industrial sectors.

Overall weakness in the dollar saw buyers come in for the loonie following the soft GDP print.  USD/CAD trades 0.1% lower at 1.3438

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Ed Moya

Ed Moya

Senior Market Analyst, The Americas at OANDA
With more than 20 years’ trading experience, Ed Moya is a senior market analyst with OANDA, producing up-to-the-minute intermarket analysis, coverage of geopolitical events, central bank policies and market reaction to corporate news. His particular expertise lies across a wide range of asset classes including FX, commodities, fixed income, stocks and cryptocurrencies. Over the course of his career, Ed has worked with some of the leading forex brokerages, research teams and news departments on Wall Street including Global Forex Trading, FX Solutions and Trading Advantage. Most recently he worked with TradeTheNews.com, where he provided market analysis on economic data and corporate news. Based in New York, Ed is a regular guest on several major financial television networks including CNBC, Bloomberg TV, Yahoo! Finance Live, Fox Business and Sky TV. His views are trusted by the world’s most renowned global newswires including Reuters, Bloomberg and the Associated Press, and he is regularly quoted in leading publications such as MSN, MarketWatch, Forbes, Breitbart, The New York Times and The Wall Street Journal. Ed holds a BA in Economics from Rutgers University.
Ed Moya