Canada manufacturing sales for January +2.3% vs. +0.5% est.

January manufacturing sales much better than expected

The Canada manufacturing sales data for January surged by 2.3% vs 0.5% estimated.

• This is the 3rd increase in a row.
• Ex auto the sales pace increased by 1.2% vs December +0.8%.
• Factory new ordres rose by 6.8% vs -1.5% (revised from -2.1%).
• Unfilled orders +0.4%
• Inventories +0.6%

Overall, a surprisingly strong report.

The USDCAD has taken the clue from the better US CPI (core that is) and ignored the stronger sales. The high extended to the high from yesterday at 1.34019 (vs. a high from yesterday at 1.34016) and has backed off to 1.3385 area.