USDCAD Drops Below 1.4000 After Canadian August Retail Sales Rebound 1.2%

USDCAD dropped below the psychological 1.4000 threshold to touch a session low of 1.3983 following resilient Canadian consumer spending data. Statistics Canada reported that retail sales rose 1.2% month-over-month in August to CAD 74.6 billion, rebounding from a 0.7% contraction in July. Gains were broad-based across all nine subsectors, with sales volumes also expanding 1.2% and core sales up 1.1% to 1.2%. Statistics Canada projected an advance 0.7% increase for September. However, the broader backdrop remains mixed after Canada lost 68,000 jobs in September and unemployment rose to 6.5%.