Canadian Dollar Rallies on Upbeat Canadian Jobs Data Amid Weak NFP Data

The  Canadian dollar today rallied higher against its US counterpart following the  release of  upbeat Canadian jobs data, versus the  disappointing US nonfarm payrolls data. The  USD/CAD dropped to  new weekly lows on  the  jobs data as  well as  the  higher global crude oil prices, which also favored the  loonie.
The  USD/CAD currency pair today dropped from a  high of  1.3400 to  a  low of  1.3249 following the  jobs data from both countries.
The  currency pair traded in  a  tight consolidative range from the  Asian session up to  the  early American session, as  investors waited for  the  crucial jobs data. The  release of  the  Canadian labour force survey   for  November by  Statistics Canada triggered the  massive decline as  the  print was better than expected. The  country added 94,100 jobs in  November as  opposed to  the  consensus estimate of  11,000 new jobs. Canada’s unemployment rate also fell to  a  40-year low of  5.6%, which was a  drop of  0.2% from the  previous figure. The  higher crude oil prices witnessed today also contributed to  the  loonie’s rally as  the  West Texas Intermediate hit a  high of  54.18.
The  release of  the  US nonfarm payrolls   by  the  Bureau of  Labor Statistics also contributed to  the  pair’s decline, as  the  country added 155,000 jobs in  November as  compared to  the  expected 200,000 jobs. However, the  unemployment rate remained stable at  3.7%.
The  currency pair’s short-term performance is likely to  be affected by  geopolitical events and  oil prices over the  weekend.
The  USD/CAD currency pair was trading at  1.3285 as  at  15:17 GMT having dropped from a  high of  1.3400. The  CAD/JPY currency pair was trading at  84.78 having risen from a  low of  84.09.

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