The last increase of the consumer price index, to 0.3 percent vs. a 0 percent read (month to month) and 2.4 percent vs. a 2.2 percent read (year to year) helped the Loonie to stay flat during last Friday’s trading session, given an unfavorable environment for commodity currencies.
This morning, the story is different. Crude is bouncing by almost 2 percent, getting back some of the losses after over a 6 percent fall last Friday. The International Energy Agency predicts global oil demand will top 100 million barrels a year in 2019, growing at a rate of 1.4 million barrels per day, but this is down from its initial assessment in June of 1.5 million barrels per day. On the flip side, Goldman Sachs is expecting OPEC supply cut in 2019 and improved performance in the price of oil.
The gross domestic product numbers will shed some light on the Loonie this Friday.