Crude Oil Falls on US Employment Report, CAD Follows

The Canadian dollar fell today as crude oil, as well as other commodities, declined after Automatic Data Processing released a worse-than-expected employment estimate.

Crude fell as much as 2.7 percent to $94.55 per barrel in New York. Other raw materials followed and The Standard & Poor’s GSCI Index of 24 commodities went down 2 percent.

One of the major reasons for the drop of commodities was the ADP employment report, which showed an increase by 158,000 in March, while the expectations were at 203,000. The non-manufacturing Purchasing Managers’ Index of Institute for Supply Management did not help either, falling from 56.0 percent to 54.4 last month. Meanwhile, US oil reserves grew 2.7 million barrels last week.

USD/CAD near the opening level of 1.0144 as of 23:10 GMT today. EUR/CAD advanced from 1.3006 to 1.3026, while CAD/JPY ticked down from 92.03 to 91.60.

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