How Will GDP Impact CAD?

How Will GDP Impact CAD?

What will happen?

Statistics Canada will announce the change in Gross Domestic Product on March 31. This release, published 60 days after the month ends, shows the change in the inflation-adjusted value of all Canadian goods and services. Gross Domestic Product is one of the best indicators of a country’s economic performance. The faster the country’s GDP grows, the faster the standard of living of its inhabitants raises. The economic stronger growth, in turn, means higher demand for the currency, i.e., for the Canadian dollar.

How will CAD react?

As a significant oil exporter, Canada tends to benefit from higher energy prices. Another positive factor is the ease of Covid. The Bank of Canada claims that the first-quarter growth seems to be more solid than expected. However, the war in Ukraine will likely lead to higher inflation and slower growth for the global economy this year, and Canada may be affected in particular. So far, the CAD hasn’t benefited much from the surge in oil prices. The energy sector’s role in Canada’s GDP may also decline, while industries such as aerospace, motor vehicles, and machinery suffer from the increased costs.

According to the March 1 release, the GDP remains unchanged. In other words, the Canadian economy stagnated. Even though analysts predicted such an outcome, the CAD reacted negatively. For example, USDCAD increased 0.72%.


How to trade on the Canadian GDP release?

A higher-than-expected reading will be bullish for the CAD, while an opposite reading is bearish for the currency.

  • If actual numbers beat expectations, then the CAD will rise.
  • Otherwise, it will fall.

Check the Economic Calendar.

Instruments to trade: USDCAD, EURCAD, CADJPY.


Can the UK CPI surprise?
Can the UK CPI surprise?

The UK Office for National Statistics will publish Consumer Price Index (CPI) data on Wednesday, May 18, at 09:00 MT.

The US Retail Sales Update
The US Retail Sales Update

The US Census Bureau will announce Core Retail Sales and Retail Sales on Tuesday, May 17 at 15:30 MT.

Latest news

Deposit with your local payment systems

Be on top of your game

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera