Canadian Dollar Update May 5, 2017- April Employment Data Misses Expectations
USD/CAD Open: 1.3770-1.3771 Overnight Range: 1.3744-1.3779
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $45.44 and gold is at $1,230. US futures are higher. Today Canada released employment data for April.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3806. Support is at 1.3713.
CAD is once again facing downward pressure early in today’s session. Today’s dual employment report further accentuated the divergence between the U.S. and Canadian labour market. Canadian jobs data fell short of expectations (+3.3k actual vs. +10k expected), with weaker than expected wage growth. The Canadian labour market was ostensibly recovering over the first few months of the year, prior to April’s release.
U.S. employment data fared better (+211k actual vs. +190k expected), bouncing back from last month’s week showing. Expectations of a June rate hike are firming, as U.S. unemployment has now reached 4.4%, the lowest in a decade. Commodities are under pressure, with oil sharply lower. CAD’s main drivers hint to further downside possibility for CAD in the near-term.
Today’s Suggested Range USD/CAD: 1.3700 – 1.3800
Sincerely,
Rahim Madhavji | Knightsbridge Foreign Exchange | Toll-Free: 1-877-355-5239
www.knightsbridgefx.com
Knightsbridge Foreign Exchange has based the opinions expressed herein on information generally available to the public. Knightsbridge Foreign Exchange makes no warranty concerning the accuracy of this information and specifically disclaims any liability for trading decisions based on the opinions expressed and information contained herein. Such information and opinions are for general information only and are not intended to present advice with respect to matters reviewed and commented upon.
Click Here to Subscribe
By Admin | May 5, 2017 | Daily Update |
1 comments