Canadian exporters have benefitted from President Donald Trump's policies, which is fueling U.S. growth, contributing to higher oil prices and weakening the Canadian dollar through trade tensions, Corpay in a note Wednesday.
Canada's merchandise trade balance recorded a surplus for a third consecutive month in May. Exports rose monthly, supported by stronger shipments to the U.S., while imports declined, according to Statistics Canada data on Tuesday.
"This underlines the irony in the current situation," as efforts to reshape trade in favor of the U.S. are inadvertently strengthening Canadian exports, Karl Schamotta, Corpay's chief market strategist, wrote in the note.