The Canadian dollar got off to a great start last Friday week. Domestic employment figures showed employment rising by 58k in May, six times the forecast increase. Strong US jobs numbers, announced at the same time, provided an added bonus: the assumption is that if things are going well in the States the Canadian economy will benefit.

Last Monday's housing starts and building permits data were also better than expected. The week's only other statistics were for new house prices, which rose by an incremental 0.1% in May and added little to the debate.

The overall result was to make the Loonie last week's top performer among the major currencies. It strengthened by a cent and a quarter against sterling and went up by one and a third US cents.