C$ hits two-week high after data, GDP next focus

TORONTO: The Canadian dollar hit its strongest level against its US counterpart in more than two weeks on Thursday, boosted by strong inflation and retail sales data that raised expectations the Bank of Canada could hike rates again as soon as January.

The yield on Canadian 2-year bonds also surged to their highest since 2011, while their spread versus US equivalents narrowed to the closest in more than a month as markets priced in a nearly 50 percent chance the central bank hikes in January.

Monthly gross domestic product data for October is due on Friday, with market participants bracing for a stronger-than-expected number following Thursday's data and robust wholesale trade numbers for October released on Wednesday.