The Loonie jumped sharply against the US Dollar, as the report showed unexpectedly strong inflation data on Thursday. The USD/CAD currency pair dropped 70 base points or 0.54% to hit the weekly low and failed to get back to pre-data levels.
Canadian yearly inflation rate increase in November to its strongest since the beginning of the year, supported by a rise in food and gasoline prices. Statistics Canada stated that the country’s CPI marked a 2.1% yearly increase in November, compared with a 1.4% gain in the prior month, hitting the Bank of Canada’s 2% goal since February. Moreover, seven of the eight main price categories were up, led by a 5.9% annual rise in transportation and passenger vehicle costs.
