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TORONTO, Aug 16 (Reuters) - The Canadian dollar fell in conjunction with its U.S. counterpart against major global currencies Friday following a batch of lackluster North American data, but overall trading was subdued and range-bound. Canadian manufacturing sales unexpectedly fell by 0.5 percent in June, falling short of forecasts that called for an increase. This was the fourth drop in manufacturing sales - the only domestic data this week - in six months and adds to expectations of softer economic growth in June. "The Canadian data (has been) uninfluential in pushing USD/CAD away from what we see as the short-term, certainly intraday range, of C$1.0300 to C$1.0350," said Jack Spitz, managing director of foreign exchange at National Bank Financial. "Today we haven't yet seen the break-out type price action ... I don't think we will see one today." In the United States, U.S. housing starts and permits for future home construction rose less than expected last month, suggesting that higher mortgage rates could be hampering the housing market's momentum. "The data shapes the narrative with respect to the QE tapering and the (U.S.) dollar represents the barometer," said Spitz. At 9:18 a.m. EDT (1318 GMT), the Canadian dollar was trading at C$1.0343 versus the U.S. dollar, or 96.68 U.S. cents, weaker than Thursday's close at C$1.0304, or 97.05 U.S. cents. Prices for Canadian government debt were mostly lower across the maturity curve. The two-year bond slipped 1.5 Canadian cents to yield 1.216 percent and the benchmark 10-year bond fell 10 Canadian cents to yield 2.687 percent, its highest yield in nearly two years.