National Bank Cuts Its Canada's GDP Growth Forecast to 0.7% for 2026 on a Weak Q1 - marketscreener.com

Data flash: Canada's Q1 GDP posted second straight (although small) decline

Forward Guidance: Canada’s GDP growth likely turned positive in Q1 after Q4 contraction

The desk posits that Canada’s GDP growth rebounded in Q1 after a contraction in Q4, as suggested by the latest RBC Economics report. This positive shift is supported by anticipations of economic resilience amid global economic pressures, thereby setting a foundation for potential currency strength. Per the full note, the expectation is that growth likely printed a positive figure, contrasting with Q4’s downturn. As traders assess these data points, any deviation from anticipated growth could impact market sentiment.

Canadian Dollar Weakens As GDP Misses Offset Stronger April Growth Estimate - Exchange Rates Org UK

Canadian Dollar: Growth outlook steady with soft GDP – RBC - FXStreet