Forex Flash: CAD continues to underperform - BTMU

Lee Hardman, FX analyst at the Bank of Tokyo Mitsubishi UFJ notes that CAD has continued to underperform in 2013.

He sees that the theme has continued following the weak Canadian retail sales report for December, with general merchandise sales recording their largest monthly decline since April 1994. He writes, “The increasingly elevated level of household debt appears to be weighing more heavily upon the consumer which may prompt the BoC to drop its tightening bias.”