Ella 
In Asia on Wednesday, USD/CAD retreated from the previous day’s decline and was trading around 1.3560. USD/CAD is under downward pressure after weak U.S. economic data released on Tuesday caused the greenback to retreat.
Among them, the consumer confidence index fell to 106.1 in August from the previous value of 114.0, lower than the expected 116.0. In addition, U.S. JOLTs job vacancies showed a decrease in July, falling to 8.827 million from the previous value of 9.165 million. Expectations were 9.465 million.
Federal Reserve Chairman Jerome Powell’s remarks at the Jackson Hole symposium suggested that the Fed’s next decision to raise interest rates will be driven by economic data. Market participants are currently waiting for more information to better understand the timing and magnitude of potential interest rate adjustments.
At the time of writing, the U.S. Dollar Index (DXY) is hovering around 103.50. A pullback in U.S. Treasury yields led to weakness in the dollar, which measures the greenback’s performance against six other major currencies.
Additionally, rising crude oil prices have provided support to the Canadian dollar against the US dollar, as Canada is one of the largest oil exporters to the United States. At press time, West Texas Intermediate (WTI) crude oil was trading around $81.35.
Investors will be watching upcoming data for new impetus on the economic prospects of the United States and Canada. This week will focus on the US core personal consumption expenditures (PCE) index, weekly jobless claims and non-farm payrolls. Canada will release its gross domestic product (GDP) on Friday.
