- USD/CAD fell sharply in the early American session.
- Nonfarm Payrolls in US rose less than forecast in May.
- Employment in Canada declined by 68,000, Unemployment Rate rose to 8.2%.
The USD/CAD pair rose to its highest level in a week at 1.2134 on Friday but turned south in the second half of the day. After dropping to a daily low of 1.2070, the pair seems to have gone into a consolidation phase and was last seen losing 0.15 on the day at 1.2083. For the week, the pair remains on track to close little changed.
Renewed USD weakness drags USD/CAD lower
Earlier in the day, the uninspiring May jobs report from the US caused the greenback to come under heavy selling pressure. The US Bureau of Labor Statistics reported Nonfarm Payrolls increased by 559,000, missing the market expectation of 650,000. Underlying details of the publication showed the Labor Force Participation edged lower to 61.6% from 61.7 in April.
With these figures suggesting that the Fed won't rush to start tapering discussions, the US Dollar Index erased a large portion of Thursday's gains and is currently losing 0.37% at 90.15. Moreover, the 10-year US Treasury bond yield is down nearly 4%.
On the other hand, Statistics Canada announced that Employment in Canada fell by 68,000 in May, compared to analysts' estimate of 20,000, and limited CAD's gains. Additionally, the Unemployment Rate ticked up to 8.2% from 8.1%.
Technical levels to watch for
|Today last price||1.2083|
|Today Daily Change||-0.0025|
|Today Daily Change %||-0.21|
|Today daily open||1.2108|
|Previous Daily High||1.212|
|Previous Daily Low||1.203|
|Previous Weekly High||1.2142|
|Previous Weekly Low||1.2029|
|Previous Monthly High||1.2352|
|Previous Monthly Low||1.2013|
|Daily Fibonacci 38.2%||1.2086|
|Daily Fibonacci 61.8%||1.2065|
|Daily Pivot Point S1||1.2052|
|Daily Pivot Point S2||1.1996|
|Daily Pivot Point S3||1.1962|
|Daily Pivot Point R1||1.2142|
|Daily Pivot Point R2||1.2176|
|Daily Pivot Point R3||1.2232|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.