Canada: International trade surplus widens to C$1.94 billion in August

• Canada's international trade surplus widened more than expected in August.
• USD/CAD pair continues to move sideways little below 1.2600.

Canada's merchandise trade surplus with the world widened to C$1.94 billion in August from C$736 million in July, the monthly data published by Statistics Canada revealed on Tuesday. This reading beat the market expectation for a surplus of C$0.35 billion by a wide margin.

"Canada's merchandise exports increased 0.8% in August, while imports decreased 1.4%," the publication further read. "Exports of energy products increased 5.1% in August to $12.0 billion, the highest level since a record $12.8 billion was posted in March 2014."

Market reaction

The USD/CAD pair showed no immediate reaction to this report and was last seen trading virtually unchanged on the day at 1.2590.