Canadian Dollar Strengthens on Inflation Data and Oil Price Hike

The Canadian dollar has strengthened its position on Monday morning due to better-than-expected inflation data. According to Statistics Canada, the country's consumer price index rose by 3.0% on an annual basis in July, surpassing the previous month's rate of 2.8%. Volatile gasoline prices played a significant role in this increase, with inflation remaining at 2.2% when excluding gasoline from the calculations.

Crude oil prices have also seen a slight surge, with West Texas Intermediate increasing by 0.5% to US$82.83 per barrel in early trading. The Toronto Stock Exchange (TSX) has experienced a decline of 82.74 points, now standing at 36,647.53.

The Canadian dollar's strengthened position is evident in its exchange rate, which currently stands at US$0.7213 or US$1=C$1.3864, slightly higher than Friday's close of US$0.7207 or US$1=C$1.3875.