12.03.2020 USD/CAD Daily Analysis

12.03.2020 USD/CAD Daily Analysis

Today the event for Producer Price Index announced the results for February and the demand fell with 0.6 percent. The results were lower than the previous 0.1 percent and it came out as -0.6%. These results actually caused the USD/CAD to go down from 1.3760 to 1.3750 because they are less spending on expensive goods. This event focuses on the prices of finished goods and services sold by producers and this event is important to traders as it alerts them of the consumer inflation so for example when the producers charge more for goods and services the higher costs are passed on the consumer . Also, the announcement that was given by Donald Trump on suspending all travel from Europe as he unveiled measures to prevent Coronavirus from spreading in the US had an impact on dropping the value of USD.