Daily Afternoon Report 13.02.2017

The Canadian dollar slid lower against its broadly stronger U.S. counterpart on today as Canadian Prime Minister Justin Trudeau met with U.S. President Donald Trump in the White House.

USD/CAD hit highs of 1.3121 and was last at 1.3101, up 0.13% from Friday’s close.

Ahead of Monday’s meeting, the first between the two leaders since Trump took office last month, Trudeau said that he expected they would “find a lot of common ground.”

Trudeau also said that he would look to “defend and demonstrate Canadian values,” but do so “respectfully and not from an ideological standpoint.”

Trump has vowed to renegotiate the North American Free Trade Agreement with Mexico and Canada in order to secure better terms for the U.S.

The potential implications of a proposed border tax, along with the Keystone pipeline were also expected to be discussed.

The loonie, as the Canadian dollar is known, also came under pressure from lower prices for oil, a major Canadian export.

Oil prices fell on today amid growing indications that U.S. production is rising at a time when other major producers are slashing output in a bit to support the oversupplied global market.

But the loonie’s losses were held in check following the release of upbeat Canadian employment data on Friday.

Canada’s economy added 48,300 jobs in January official data showed, boosting chances for a rate hike before the end of the year.