Canadian Dollar Strengthens on Higher Inflation Data

The Canadian dollar strengthened on Monday morning due to unexpectedly high inflation data.

According to Statistics Canada, the country's consumer price index rose 3.0 per cent in July compared to the same period last year, beating the previous month's 2.8 per cent increase.

Volatile gasoline prices were a major contributor to the surge, but when excluding gas, inflation only increased by 2.2 per cent.

Crude oil prices also rose, with West Texas Intermediate up 0.5 per cent at US$82.83 per barrel in early activity.