The Canadian dollar posted sharp losses at the end of the week and USD/CAD rose close to 1 percent on the week.
There are four events in the upcoming week, including GDP. Here is an outlook for the highlights and an updated technical analysis for USD/CAD.
Canada’s data calendar was light last week. Corporate Profits posted a second straight gain, at 7.9%. On the inflation front, the Raw Materials Price Index rose 5.7%, above expectations and its highest gain since January.
In the US, Fed Chair Powell had a dovish message for the markets in his testimony before Congress. Second-estimate GDP for Q4 came in at 4.1%, revised upwards from 4.1%. There was positive news from Durable Goods reports, with strong acceleration in January. The headline read jumped 3.4% while Core Durable Goods rose 1.4%.