A combination of rebounding oil prices and positive retail sales momentum helped the Canadian dollar finds its footing on Thursday against peers.
Sales activity managed to outpace market expectations for the month of April, with headline month over month purchases climbing 0.80%, slightly above the higher revised reading from March.
The core retail figure, which excludes the more volatile automobile sales component, managed to top forecasts by a wide margin, coming in at 1.50% compared to estimates of 0.70%.
The big drivers were gains at the nation’s gas stations amid higher prices while home improvement stores also benefited from the increased retail spending. Bolstering the Canadian dollar further was the moderate rebound in oil futures, pushing the EURCAD pair as low as 1.4736 before encountering support and reversing modestly higher overnight.