CAD Rises on Employment Data, Loses Gains on Crude Oil Drop

The Canadian dollar jumped after the positive employment report but has started to go back down immediately afterwards. The currency preserved its gains versus the euro but lost them against the US dollar and the Japanese yen.
Canadian employment grew by 13,800 in May from April, far exceeding the analysts’ consensus forecast of 3,100. The unemployment rate went down from 7.1% to 6.9% while experts predicted no change.
The Canadian dollar surged on the report, but the rally was extremely short-lived. The most likely reason for the unimpressive performance was the big drop of crude oil prices. Crude fell as much as 3% today as the number of US oil rigs was growing.
USD/CAD traded at 1.2757 as of 19:28 GMT today after opening at 1.2722 and falling to the daily low of 1.2660. EUR/CAD declined from 1.4395 to 1.4360. CAD/JPY dropped from 84.16 to 83.64.

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