There is little on the domestic front (September Average Weekly Earnings) to drive the CAD so focus will remain on external issues and flows. USD/CAD traded heavily earlier in the week as the market backed off the upper 1.05 area but the lack of downside follow-through suggests the market is consolidating, rather than reversing the mid-November rally.
Bullish outlook on the near and longer-term for funds ( target 1.06 for end 2013 and 1.11 for end 2014). The 1.0560/80 area may be sticky for USD/CAD near-term but perhaps that minor dips remain a buy. GBP/CAD has reached 1.72 this morning.
