Investing.com - The U.S. dollar climbed against its Canadian counterpart on Friday, re-approaching a recent 11-year peak as upbeat economic reports from the U.S. boosted optimism over the strength of the economy.
USD/CAD hit 1.3298 during early U.S. trade, the session high; the pair subsequently consolidated at 1.3290, advancing 0.68%.
The pair was likely to find support at 1.3143, the low of August 25 and resistance at 1.3355, the high of August 25 and an 11-year high.
The U.S. Bureau of Economic Analysis reported on Friday that the goods trade deficit narrowed to $59.12 billion in July from $62.26 billion the previous month.
A separate report showed that U.S. personal spending rose 0.3% last month, disappointing expectations for an increase of 0.4%. Personal spending rose 0.3% in June, whose figure was revised from a previously estimated 0.2% gain.
Data also showed that U.S. personal income rose by 0.4% in July, in line with expectations.
The greenback strengthened broadly after data on Thursday showed that U.S. gross domestic product grew at an annual rate of 3.7% in the second quarter, above expectations for growth of 3.2%.
The upbeat data added to optimism over the perspective for global economic growth, while concerns over volatility in Asian markets continued to subside. Shares in Shanghai opened higher on Friday, after closing over 5% the day before.
Meanwhile, the commodity-linked lost some ground as oil prices turned lower after rallying over 10% on Thursday. Crude oil futures for October delivery were down 0.80% at $42.22 in early U.S. trade.
The loonie was also lower against the euro, with EUR/CAD gaining 0.70% to 1.4950.