FXstreet.com (Barcelona) - The USD/CAD has reacted slightly higher after the Canadian CPI data with the pair testing the 1.0440 resistance. The dollar has been consolidating low levels against the Canadian during the European morning after posting new 11-month low at 1.0605.

Currently the pair is trading around 1.0635/45, 0.25% below today's opening price action at 1.0668.

Canadian CPI rose 0.3% between July and August, in line of expectations and well above 0.3% decreases posted in the previous month. Year over year, CPI is 0.9% deflation in August. The Bank of Canada's CPI increases 0.1% its prices in August form July, on the year, BoC's CPI has posted 1.6% inflation between August 2008 and 2009.

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