Bank of Canada Consumer Price Index Core

Consumer Price Index Core is released by the Statistic Canada. “Core” CPI includes fruits, vegetables, gasoline, fuel oil, natural gas, mortgage interest, intercity transportation, and tobacco products. These volatile core 8 are considered as the key indicator for inflation in Canada. A high reading anticipates a hawkish attitude by the BoC, and that is said to be positive (or bullish) for the CAD.

Consumer Price Index

The Consumer Price Index released by the Statistics Canada is a measure of price movements by the comparison between the retail prices of a representative shopping basket of goods and services. The purchase power of CAD is dragged down by inflation. The Bank of Canada aims at an inflation range (1%-3%). A high reading is seen as anticipatory of a rate hike and is positive (or bullish) for the CAD.

Foreign investment in Canadian securities

The International Securities released by Statistics Canada shows the movements of incoming and outcoming investments (money market, stocks and bonds) from Canada. It also indicates the climate of foreign investors into Canadian securities and the CAD itself. This event causes volatility in the CAD. An increasing number of investments is seen as positive prospect of the Canadian economy (or bullish sentiment for the CAD).

Gross Domestic Product

The Gross Domestic Product released by the Statistics Canada is a measure of the total value of all goods and services produced by Canada. The GDP is considered as a broad measure of Canadian economic activity and health. A rising trend has a positive effect on the CAD, while a falling trend is seen as negative (or bearish) for the CAD.

Housing Starts

The Housing Starts released by the Canadian Mortgage and Housing Corporation captures how many new single-family homes or buildings were constructed. It shows the strength of the Canadian housing market, which can be considered as the economy as a whole due to Housing Starts' sensitivity to changes in the business cycle. A high reading is seen as positive (or bullish) for the CAD, while a low reading is seen as negative (or bearish).

Manufacturing Sales

The Manufacturing Shipment released by the Statistic Canada examines overall Shipments of Canada. It can be seen expected market demand. A growing number of goods including unsold inventories indicates a fall in the market demand, which anticipates bearish for the CAD, while a declining number is seen as positive (or bullish) for the currency.

New Housing Price Index

The New Housing Price Index (NHPI) released by the Statistics Canada is a monthly series that measures changes over time in the contractors' selling prices of new residential houses, where detailed specifications pertaining to each house remain the same between two consecutive periods. The growth rate of the housing market affects the CAD volatility. A high reading is seen as positive (or Bullish) for the CAD, whereas a low reading is seen as negative (or Bearish).

Retail Sales

The Retail Sales released by the Statistics Canada is a monthly data that shows all goods sold by retailers based on a sampling of retail stores of different types and sizes. The retail sales index is often taken as an indicator of consumer confidence. It shows the performance of the retail sector in the short term. The positive economic growth anticipates bullish movements for the CAD.

Retail Sales ex Autos

The Retail Sales ex Auto released by the Statistics Canada is a monthly data that shows all goods sold by retailers based on a sampling of retail stores of different types and sizes except the automobile sector. The retail sales index is often taken as an indicator of consumer confidence. It shows the performance of the retail sector in the short term. The positive economic growth anticipates bullish movements for the CAD.