The U.S. dollar eased off a nine-month low against its Canadian counterpart on Friday, after the release of upbeat U.S. personal income data, although higher oil prices and positive economic growth data from Canada still lent some support to the local currency.
USD/CAD eased off 1.2948, the pair’s lowest since September 2016, to hit 1.2985 during early U.S. trade, still down 0.15%.
The pair was likely to find support at 1.2818 and resistance at 1.3043, Thursday’s high.
The U.S. Commerce Department that personal spending rose 0.1% in May, in line with expectations and after an increase of 0.4% the previous month.
Meanwhile, personal income rose by 0.4% in May, compared to expectations for a 0.3% gain.
In Canada, official data showed that gross domestic product rose 0.2% in May, in line with expectations, after a growth rate of 0.5% the previous month.
A separate report showed that Canada’s raw materials price index dropped 1.8% last month, disappointing expectations for a 1.0% fall.
The commodity-related Canadian dollar was supported by rising oil prices on Friday, supported by a decline U.S. crude production.
The loonie was higher against the euro, with EUR/CAD dropping 0.36% to 1.4824.