Forecast: Canada monthly GDP expected to rise

NEW YORK (Forex News Now) – Statistics Canada is set to release fresh data on the country’s monthly GDP figures, in the day’s main realtime forex news event affecting the loonie.

The report is expected to show that gross domestic product rose by 0.3% in October, according to at least two major online FX trading news outlets, after falling by 0.1% in September.

The office is scheduled to release the report at 1:30 P.M., GMT, and should have an immediate impact on currency market trading.

However, the release of the report may be overshadowed in North America by the release later in the day in the US of data on initial jobless claims and existing home sales.

According to USD/CAD analysis, a lower-than-expected rise in the Canadian monthly GDP, or even a decrease, could lift the currency pair toward short-term resistance around Monday’s high of 1.0208.

But should the data show a greater-than-forecast rise, USD/CAD could push toward short-term support around the Dec. 14 low of 1.0028.