The Canadian dollar is contending with 8-month highs after a strong GDP report

The Canadian dollar is surging after a strong GDP report.

The Canadian dollar appreciated 0.6% against the dollar, nearing eight-month highs.

Canada saw its strongest monthly gain in three years as January's GDP rose 0.6% from December. This was twice economists' estimates of 0.3%.

According to Bloomberg, January was the fourth consecutive month of growth, and the longest stretch of gains since oil prices started to fall.

Growth was primarily driven by manufacturing, which grew 1.9% from the previous month. Durable manufacturing grew 2.6% and industrial production was up 1.6%.