With the U.S markets closed, economic data is on the lighter side later today. China’s 4th quarter GDP numbers and COVID-19 news updates will be in focus.
USD/CAD failed to settle below 1.2625 and rebounded back above 1.2700.
The Canadian dollar was trading 0.8% lower at 1.2732 to the greenback, or 78.54 U.S. cents, pulling back from a near three-year high on Thursday at 1.2621. "It has primarily been some covering of short U.S. dollar positions," said Bipan Rai, North America head of FX Strategy at CIBC Capital Markets. "It's a move in line with what we have seen in other currencies ... So it's not the Canadian dollar on its own."