The USDCAD moved lower after the stronger-than-expected Canadian jobs data:
Canada’s June employment report showed stronger-than-expected job growth, with total employment rising by 83.1K, well above the 0.0K expected and the prior month’s 8.8K gain. The increase was driven primarily by part-time employment, which surged by 69.5K, while full-time jobs increased by a modest 13.5K. The employment boost, sent the unemployment rate down to 6.9%, from 7.0% and the estimate of 7.1% . The participation rate edged higher to 65.4% from 65.3%. Meanwhile, average hourly wages for permanent workers slowed slightly to 3.2% y/y, down from 3.5% previously. Overall, the report reflects a resilient labor market with robust hiring, particularly in part-time roles, though wage growth continues to ease.
The USDCAD initially fell from 1.3686 to a session low of 1.3651, dipping just below the earlier low from the Asian session at 1.3652. However, buyers stepped in near that support level and helped push the pair higher.
Since then, the pair has rebounded to a high of 1.3673, approaching the rising 100-hour moving average, which currently sits at 1.3675
