Canada: Q4 Current Account falls to C$ -0.8B versus C$ 4.8B expected

Canada’s Current Account was a C$ 0.8B deficit in Q4 2021, according to data released by Statistics Canada on Monday. That was well below the expected surplus of C$ 4.8B and marked a drop from Q3’s C$ 0.8B surplus. 

Market Reaction

The latest weaker than expected Canada trade figures do not seem to have impacted the loonie, with USD/CAD at present largely unmoved in the 1.2740s area. The BoC will be the main event of note this week for the loonie though the overarching direction of FX market sentiment will remain predominantly influenced by geopolitics.