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Investing.com - The U.S. dollar fell to two-and-half month lows against its Canadian counterpart on Friday, as a rebound in oil prices lent support to the commodity-linked Canadian currency, although upbeat U.S. economic growth limited the greenback’s losses. USD/CAD hit 1.3506 during early U.S. trade, the pair’s lowest since February 8; the pair subsequently consolidated at 1.3520, slipping 0.10%. The pair was likely to find support at 1.3361, the low of December 7 and resistance at 1.3736, Thursday’s high. The Canadian dollar strengthened as U.S. crude oil prices rose to a one-month high above $34 a barrel following reports Saudi Arabia, Qatar, Venezuela and Russia will meet in March to discuss capping crude oil production. However, gains were expected to remain limited as concerns over a global supply glut did not disappear. Meanwhile, preliminary data showed that U.S. gross domestic product grew 1.0% in the fourth quarter, compared to a previously reported 0.7% growth rate and expectations for a 0.4% rate. A separate report showed that the U.S. goods trade deficit widened to $62.23 billion in January from $61.50 billion the previous month. Analysts had expected the goods trade deficit to narrow to $61.10 billion last month. The loonie was higher against the euro, with EUR/CAD sliding 0.66% to 1.4813.
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