Canada: Real GDP expanded by 0.1% in January as 0.1% expected

The real Gross Domestic Product (GDP) in Canada increased by 0.1% on a monthly basis in January following December's expansion of 0.3%, the data published by Statistics Canada showed on Tuesday. This reading came in line with market expectation.

"In January, effects such as reduced trade with China and advisories against non-essential travel to China affected potential growth," Statistics Canada noted in its press release. "The pandemic will significantly affect economic activity in March and subsequent months."

Market reaction

The USD/CAD pair edged lower after this data and was last seen trading at 1.4233, still adding 0.45% on a daily basis.