• Inflation in Canada rose at a stronger pace than expected in September.
• USD/CAD stays in the negative territory around 1.2350.

Annual inflation in Canada, as measured by the Consumer Price Index (CPI), advanced to 4.4% in September from 4.1% in August, the data published by Statistics Canada revealed on Wednesday. This reading came in higher than the market expectation of 4.3%.

Moreover, the Bank of Canada's (BoC) Core CPI, which excludes volatile food and energy prices, rose to 3.7% in the same period, compared to analysts' estimate of 3.6%.

Market reaction

These readings don't seem to be having a significant impact on USD/CAD, which was last seen losing 0.1% on a daily basis at 1.2350.