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Forex - USD/CAD steady at 5-week lows after U.S., Canadian data

Published 03/28/2013, 09:39 AM
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Investing.com - The U.S. dollar was steady close to five-week lows against the Canadian dollar on Thursday following the release of mixed economic data by both the U.S. and Canada.

USD/CAD hit 1.0147 during early U.S. trade, the pair’s lowest since February 20; the pair subsequently consolidated at 1.0166, inching up 0.04%.

The pair was likely to find support at 1.0108, the low of February 20 and resistance at 1.0194, Wednesday’s high.

The Canadian dollar briefly touched five-week highs after Statistics Canada said the economy expanded 0.2% in January, slightly above expectations for growth of 0.1%.

In the U.S., official data showed that gross domestic product expanded at an annual rate of 0.4% in the three months to December, lower than forecasts for a 0.5% expansion.

The growth rate was the slowest since the first quarter of 2011, but was higher than initial estimates for growth of 0.1%.

A separate report showed that the number of people who filed for initial unemployment assistance rose by 16,000 to a seasonally adjusted 357,000 last week, compared to expectations for an increase to 340,000.

The loonie, as the Canadian dollar is also known, was lower against the euro, with EUR/CAD rising 0.30% to 1.3028.

The U.S. was to release data on manufacturing activity in Chicago later in the trading day.




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