USD/CAD stays flat on the day near 1.3150 following US and Canada data

Capacity utilization in Canada improves to 83.3% in the second quarter.
Core PPI in US rose more than expected in August.
WTI drops below $58 after OPEC lowers demand growth expectations.

Eren Sengezer FXStreet

The USD/CAD pair failed to react to today's macroeconomic data releases from the US and Canada and continues to move sideways near the 1.3150 handle.

The US Bureau of Labor Statistics today announced that the core Producer Price Index, which strips volatile food and energy prices, rose 2.3% in August to beat analysts' estimate of 2.2%. On the other hand, Statistics Canada reported that capacity utilization in Canada improved to 83.3% in the second quarter from 81.1%.

Crude oil prices weaken on demand worries

Meanwhile, in its monthly report earlier today, OPEC said that it lowered its global oil demand growth forecast by 60,000 barrels per day for 2020 citing the potential negative impact of global economic slowdown on the energy demand outlook. Crude oil lost its traction on OPEC's publication and the barrel of West Texas Intermediate turned flat on the day below $58 to make it difficult for the commodity-sensitive Loonie to outperform the Greenback.

On the other hand, the selling pressure surrounding major European currencies, especially the EUR ahead of tomorrow's ECB announcements, allows the USD to preserve its strength on Wednesday. At the moment, the US Dollar Index is up 0.35% on a daily basis at 98.66.

Technical levels to watch for

USD/CAD

Overview
Today last price	1.3154
Today Daily Change	0.0002
Today Daily Change %	0.02
Today daily open	1.3152

Trends
Daily SMA20	1.3274
Daily SMA50	1.3194
Daily SMA100	1.3285
Daily SMA200	1.3315

Levels
Previous Daily High	1.3192
Previous Daily Low	1.3134
Previous Weekly High	1.3384
Previous Weekly Low	1.3158
Previous Monthly High	1.3346
Previous Monthly Low	1.3178
Daily Fibonacci 38.2%	1.3156
Daily Fibonacci 61.8%	1.317
Daily Pivot Point S1	1.3126
Daily Pivot Point S2	1.31
Daily Pivot Point S3	1.3067
Daily Pivot Point R1	1.3185
Daily Pivot Point R2	1.3218
Daily Pivot Point R3	1.3244

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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