Daily Afternoon Report 14.10.2016

The U.S. dollar fell to a four-day low against its Canadian counterpart on Friday, as higher oil prices lent support to the commodity-related Canadian currency, although upbeat U.S. data limited the greenback’s losses.

The Canadian dollar benefited from higher oil prices on Friday, although skepticism surrounding the recent OPEC deal continued to loom.

In the U.S., data on Friday showed that retail sales rose 0.6% in September, in line with expectations and after a revised 0.2% fall the previous month.

Core retail sales, which exclude automobiles, increased by 0.5% last month, beating expectations for a 0.4% gain.

A separate report showed that the U.S. producer price index rose 0.3% in September, compared to expectations for an increase of 0.2%

Core PPI, which excludes food and energy, ticked up 0.2% last month, exceeding expectations for a 0.1% rise.

The greenback also remained supported after the minutes of the Federal Reserve’s September policy meeting released on Wednesday showed several voting members of the policy committee judged a rate hike would be warranted “relatively soon” if the U.S. economy continued to strengthen.