USD, CAD flows: CAD up as GDP outperforms expectations

A stronger than expected January GDP number for Canada has lifted the CAD, with USD/CAD down 20 pips to 1.3580. The final US GDP data or Q4 was also on the strong side of expectations, with upward revisions in the headline, consumer spending and the GDP price index, but the PCE price index was unrevised so there has been little USD reaction. Although there is Chicago PMI data and University of Michigan confidence data, the fixing at 4 pm as effective end of month is likely to be the main focus this afternoon The USD strength this morning suggests it may prove USD positive.