Canadian Dollar jumps notably after stronger than expected retail sales data. Headline sales rose for the second consecutive month, up 1.1% mom. to CAD 51.3B in March, above expectation of 1.00%. Ex-auto sales was even stronger, up 1.7% mom versus expectation of 0.8% mom.
USD/CAD drops through 1.3376 support after the release. But at the point, current fall is seen as part of consolidation pattern from 1.3521. Hence we’d expect strong support above 1.3274 to contain downside. Larger rise from 1.3068 is still in favor to resume later.
