Investing.com - The U.S. dollar held steady against its Canadian counterpart on Wednesday, as news of potential stimulus measures implemented by Beijing eased fears over the outlook for global economic growth, while data showed that Canadian building permits fell less than expected in July.
USD/CAD hit 1.3244 during early U.S. trade, the session high; the pair subsequently consolidated at 1.3216.
The pair was likely to find support at 1.3133, the low of September 3 and resistance at 1.3312, Tuesday's high.
Global growth concerns began to subside after China’s finance ministry said late Tuesday that it would implement fresh measures to stimulate economic growth.
Chinese equities rallied as the announcement alleviated concerns over slowing growth, driving broader gains in regional equity markets and in commodity markets.
In Canada, data on Wednesday showed that building permits fell 0.6% in July, compared to expectations for a 5.0% decline. Building permits increased by 15.5% June, whose figure was revised from a previously estimated 14.8% gain.
Canada's housing starts rose by 216.900 units un July, beating expectations for an increase of 190.000. Housing starts rose by 193.300 in June, whose figure was revised from a previously estimated gain of 193.000.
The loonie was higher against the euro, with EUR/CAD shedding 0.24% to 1.4722.
Investors were looking ahead to the Bank of Canada's monetary policy statement later Wednesday, with the bank widely expected to keep interest rates on hold after already cutting rates twice earlier this year.