Dukascopy Bank Team
Dukascopy Bank SA
USD/CAD: Canadian Employment Change
The USD/CAD dropped significantly to continue depreciations after both Canadian and US employment reports came in. The Canadian Dollar depreciated against the Greenback by 42 base points or 0.34% to return into the 1.2540 area.
Statistics Canada reported that the economy marked a weaker-than-expected rise of 10K in jobs in September, while the unemployment rate remained at the lowest level in nine years of 6.2% in the reported period. An increase in full-time jobs offset weakening in part-time positions with the main support from gains in the public-sector employment. Moreover, wage growth expanded at a fastest pace of 2.2%, fuelling possibility that the Bank of Canada could raise rates in December.
EUR/USD: US Non-Farm Employment Change
The Euro fell slightly against the US Dollar, as the job market reports showed mixed readings on Friday. The EUR/USD currency pair edged lower to the 1.1681 mark, losing 19 base points or 0.16%, though the strong bullish sentiment managed to keep the exchange rate near the 1.1730 level.
The Labour Department showed that the US job market faced unexpected decrease in jobs, as the economy lost 33K positions in September, reflecting the impact of Hurricanes Harvey and Irma. However, the unemployment rate declined to a new low of 4.2% in the same period. Following the report, market expectations for the Federal Reserve to raise rates in December were still high.
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.
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