US dollar expanded sharply versus Canadian counterpart on weak economic data from Canada

USD/CAD pair registered a sharp rise to ten-week high during European afternoon trade, after disappointing Retail Sales data from Canada.

The pair rose to 1.0332. Resistance levels were expected at 1.0355, while support was to be received at 1.0220.

Official data was announced today, regarding Canada Retail Sales, as it became clear that this indicator showed a decline during March, compared to previous month. Major reason for the drop were lowering gasoline prices, as Canadian Retail Sales marked the weakest data for the last three months. During current period the indicator remained unchanged with sales reaching 39.55 billion CAD. Experts from Royal Bank of Canada predicted a 0.1% rise. Annually, Retail Sales increased by 1.1%.

Additionally, Retail Sales ex Autos in Canada registered a drop by 0.2% during March on monthly basis, opposing estimates for 0.1% increase. The indicator recorded a positive change during preceding month, adding 0.7%.