With no macroeconomic reports or other events scheduled in Canada for today, the Canadian dollar was trading mostly flat in the American trading session. Falling prices for crude oil and poor economic data in the United States drove the loonie lower versus its US counterpart.
Underwhelming reports in the USA were detrimental to the Canadian currency because Canada has strong economic ties to its neighbor. Additionally, the disappointing indicators led to concerns about growth in the world’s biggest economy, and that hurt prices for crude oil — commodity that linked to economic growth. And that put additional pressure on the loonie as crude is Canada’s major source of export revenue.
As for economic reports in Canada itself, several will be released over the rest of the week, but most important of them should be employment data scheduled for Friday. Analysts predicted ahead of the report that employment will demonstrate an increase by 6,500, while the unemployment rate will rise a bit from 5.6% to 5.7%.
USD/CAD rose from 1.3109 to 1.3137 as of 18:57 GMT today. EUR/CAD was flat at 1.4992. CAD/JPY traded at about 83.68 after opening at 83.78.
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