The Canadian dollar fell for a second day before a report expected to show U.S. retail sales increased for a fourth straight month, adding to signs Canada’s economy is falling behind its biggest trading partner. The currency fell after Canada announced last week the economy had lost 39,400 jobs in July compared with the 10,000 new positions expected by a Bloomberg survey of 23 economists. The Commerce Department will report today U.S. retail sales increased by 0.3 percent in July, according to a Bloomberg survey with 81 responses. “The market for the time being is a little wary about the Canadian economy, based on the job prints, and I think we’re going to end up having a higher dollar/weaker Canada in the near term,� said Darcy Browne, managing director of currencies at Canadian Imperial Bank of Commerce’s CIBC World Markers unit. “Retail sales, like anything showing strength in the underlying U.S. economy, will probably benefit the U.S. dollar.� The loonie, as the Canadian dollar is known, fell 0.1 percent to C$1.0318 per U.S. dollar at 8:01 a.m. in Toronto. One loonie buys 96.92 U.S. cents. To contact the reporter on this story: Ari Altstedter in Toronto at aaltstedter@bloomberg.net To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net

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