Investing.com - The U.S. dollar slipped against its Canadian counterpart on Monday, after the release of mixed U.S. data but still remained within close distance of a six-month high as expectations for an early U.S. rate hike continued to support the greenback.
USD/CAD hit 1.1075 during early U.S. trade, the session low; the pair subsequently consolidated at 1.1069, shedding 0.22%.
The pair was likely to find support at 1.1026, Friday's low and resistance at 1.1278.
In a report, the Federal Reserve Bank of New York said that its general business conditions index increased to a five-year high of 27.5 this month from a reading of 14.7 in August. Analysts had expected the index to rise to 16.0 in September.
A separate report showed that U.S. industrial production fell 0.1% last month, disappointing forecasts for a 0.3% gain. Industrial production for July was revised down to a gain of 0.2% from a previously reported increase of 0.4%.
The greenback strengthened broadly in recent weeks amid expectations for an early hike in U.S. interest rates.
The Federal Reserve was expected to cut its asset purchase program by another $10 billion at its upcoming policy meeting on Wednesday, which would keep it on track for winding up the program in October, and to start raising interest rates sometime in mid-2015.
The loonie was higher against the euro, with EUR/CAD retreating 0.43% to 1.4319.