Corporate foreign exchange news

Forex market news: Canadian GDP data set to show end of recession

Monday, 30 November 2009 09:22:25 GMT

Published by Mark Smith-Halvorsen
Support for the Canadian dollar is likely to swell in foreign exchange trading today (November 30th) as markets anticipate an end to the recession in the North American country.
The Financial Post reports that the week's trading will be bookended by the third-quarter gross domestic product (GDP) figures later today and November employment figures on Friday, providing a comprehensive picture how Canada is weathering the economic crisis.
Analysts are confident the country returned to growth in the third quarter, with average estimates of annualised growth of one per cent being forecast. In the second quarter, the Canadian economy shrank 3.4 per cent.
Diana Petramala, an economist with TD Securities, said that in the third quarter, the Canadian consumer propelled the country back into positive growth territory.
"A red-hot real estate market has also helped support the economy by stimulating residential investment, related to a significant bounce-back in housing starts," she wrote in a report.
On Wednesday, foreign exchange traders will also be looking at US oil inventories data to gauge demand for crude, Canada's largest export.
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