USD/CAD renews daily high, closes in on 1.2100
- USD/CAD is inching higher in the early American session.
- Canada posted a current account surplus in the first quarter.
- WTI trades above $67, rising 1% ahead of OPEC meeting.
After spending the European session in a tight range near 1.2070, the USD/CAD pair gained traction and touched a daily high of 1.2090. As of writing, the pair was up 0.1% on the day at 1.2085. However, the lack of fundamental drivers suggests that USD/CAD's recent action is technical in nature.
DXY holds steady around 90.00
Earlier in the day, Canada announced that it has registered a current account surplus of C$1.18 billion in the first quarter. Other data from Canada showed that the Raw Material Price Index and the Industrial Product Price Index rose by 1% and 1.6%, respectively, on a monthly basis in April.
The US markets will remain closed due to the Memorial Day holiday on Monday and USD/CAD could find it difficult to gather momentum during the American trading hours. Currently, the US Dollar Index is unchanged on the day at 90.04.
Meanwhile, crude oil prices are edging higher ahead of Tuesday's highly-anticipated OPEC meeting and helping the commodity-sensitive loonie limit its losses against its rivals. At the moment, the barrel of West Texas Intermediate is up 1% on the day at $67.27.
On Tuesday, first-quarter Gross Domestic Product (GDP) data will be featured in the Canadian economic docket. Later in the session, the ISM Manufacturing PMI from the US will be looked upon for fresh impetus.
Technical levels to watch for