USD/CAD above 1.03 after Building Permits

The Canadian dollar fell against the greenback, snapping two days of gains, as building permits dropped in August from a record high and the U.S. government shutdown entered a second week.

The currency was weaker against most of its 16 major peers as crude oil, the nation’s largest export, declined and stocks fell. U.S. Speaker John Boehner said the House can’t pass an increase to the U.S. debt ceiling without packaging it with other provisions — something President Barack Obama has labeled a nonstarter, adding to concern growth is slowing in Canada’s largest trading partner.

“It’s more a function of the data that came out this morning,” David Tulk, chief Canada macro strategist at TD Securities, a unit of Toronto-Dominion Bank, said by phone from Toronto. “In the vacuum of data from a North American perspective, what is released typically on the Canadian side of the border may have more of an outsized impact on the currency.”


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