Euro Rides Q1 Growth Wave, Holds CAD in Check
The euro held its ground against the Canadian dollar on Thursday as Eurozone growth data offset gains in the loonie driven by rising oil prices.
Eurostat reported that the Eurozone economy expanded by 0.3% in the first quarter, surpassing market forecasts of 0.2% growth. This better-than-expected GDP figure provided a much-needed boost to the euro, which has been under pressure from persistent inflation concerns and geopolitical uncertainties.
The annual growth rate for the Eurozone came in at 1.1% for the first quarter, up from 0.9% in the previous quarter. Germany grew by 0.2%, while France and Italy expanded by 0.3% and 0.4% respectively.
Meanwhile, rising crude oil prices supported the Canadian dollar as Canada is a major oil exporter. West Texas Intermediate (WTI) crude futures climbed above $82 per barrel on Thursday, driven by supply concerns and stronger global demand signals.