Canadian Dollar Rallies Against US Peer on US/Canadian Jobs Data

The Canadian dollar today rallied against its Southern neighbour after the release of jobs data from both countries with some prints beating analysts’ estimates. The USD/CAD currency pair today printed news lows as US non-farm payrolls disappointed causing the  greenback to  lose ground against the  loonie amid higher oil prices.
The  USD/CAD currency pair today fell from a  high of  1.3976 at  the  Asian open to  a  daily low of  1.3909 in  the  American session and  was trading near these lows at  the  time of  writing.
The  currency pair headed lower at  the  start of  today’s session as  oil prices traded near their weekly highs as  tracked by  the  West Texas Intermediate boosting the  commodity-linked loonie. The  currency pair was reeling from yesterday’s massive decline, which was the  biggest single-day decline witnessed in  the  past six weeks. The  release of  the  latest Canada labour force survey by  Statistics Canada boosted the  loonie as  the  unemployment rate came in  13% versus the  expected 18%. The  number of  job losses totalled 1.99 million versus the  consensus estimate of  4 million, also boosting the  loonie.
The  US non-farm payrolls report for  April released by  the  Bureau of  Labor Statistics also contributed to  the  pair’s decline. US job losses totalled 20.5 million, while the  unemployment rate was 14.7% versus the  expected 14%. The  average hourly earnings in  both countries improved, as  did the  labour force participation rate.
The  currency pair’s performance over the  upcoming weekend is likely to  be affected by  crude oil prices and  geopolitical events.
The  USD/CAD currency pair was trading at  1.3915 as  at  16:29 GMT having fallen from a  high of  1.3976. The  CAD/JPY currency oar was trading at  76.56, having rallied from a  low of  76.11.

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