The Canadian dollar fell more than 1 percent against the US dollar after the release of US employment data. The loonie performed better against its other most-traded peers as the employment report from Canada itself was also good.
Canadian employers added 44,000 jobs in October. That is compared to the forecast increase of 9,500 and the previous month’s growth of 12,100. Moreover, the unemployment rate ticked down by 0.1 percentage point to 7.0 percent unexpectedly. As for the negative piece of data, building permits dropped 6.7 percent in September from the previous month while analysts had predicted an increase.
The positive employment data buoyed the Canadian dollar against its major rivals, like the euro and the Japanese yen. Yet the Canadian currency was unable to compete with the greenback as the amazing non-farm payrolls allowed the US dollar to surge against other majors.
USD/CAD spiked 1 percent from 1.3166 to 1.3301 as of 17:23 GMT today, trading near the highest level since October 1. At the same time, EUR/CAD declined 1.4324 to 1.4280. CAD/JPY advanced from 92.41 to 92.59.
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