FXstreet.com (Barcelona) - The USD/CAD has fallen around 100 pips after the Feb US trade balance and Canadian international merchandise trade from the 1.2820 to the 1.2670, fresh two weekly low.
U.S. deficit in goods and services trade has narrowed around 10% to 36.03 billion in January from a trade gap of 39.90 billion in December. January's deficit has been lower than expected, as Wall Street analysts had advanced a trade gap of around 37.3 billion. With January's decline U.S. trade deficit posts the fifth consecutive decrease, falling to levels not seen since October 2002.
Currently, the pair is fighting by the 1.2700 level, moving around the 1.2695/1.2710.
According to Valeria Bednarik, FXstreet.com Collaborator, The USD/CAD continues moving in last days range, yet tending higher: Canada printed the highest unemployment level since 2003 that rose to 7.7% while the number of jobs lost reached a high as 82,6K. The USD/CAD continues moving in last days range, yet tending higher. Long term perspective however remains uncertain to the upside, as long as the pair remains under the 1.3000 key level, that already tested yet failed to break this month. Clear confirmations above that point, will bring more losses for this small dollar, supported also by the downturn in the economic conditions of the country. Canada expects further deterioration in labor, and construction conditions for the next months.