News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Gold
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: US 500: 0.54% Wall Street: 0.52% Germany 30: -0.05% FTSE 100: -0.08% France 40: -0.18% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/KovwTZk8iu
  • $GBPUSD not far off the big 1.4000 psych level that has been in focus for much of the year https://t.co/ieYPFxCX3l
  • $USDCAD has dropped below its 20-day moving average for the first time in 38 trading days. As far as monetary policy focused crosses go, this is a good one; and the BOC has already tapered twice as the Fed drags its feet https://t.co/18gBHWKzJ8
  • Forex Update: As of 14:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.76% 🇬🇧GBP: 0.51% 🇨🇦CAD: 0.44% 🇪🇺EUR: 0.33% 🇦🇺AUD: 0.23% 🇯🇵JPY: 0.20% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/6IgbcOeZDZ
  • Seeing some continued US Dollar weakness post-FOMC as expected. $DXY hitting fresh monthly lows with weekly jobless claims data and the 2Q GDP report released this morning both disappointing relative to consensus. Link to Analysis - https://www.dailyfx.com/forex/market_alert/2021/07/29/us-dollar-hits-monthly-low-as-jobless-claims-q2-gdp-disappoint.html https://t.co/MnaABIzbRr
  • Indices Update: As of 14:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 0.88% US 500: 0.52% France 40: 0.50% Wall Street: 0.49% Germany 30: 0.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/7PWjwTJE5Y
  • The US 2Q GDP was technically better than the previous quarter at 6.5% (prev 6.3% revised down), but far more tame than the 8.4% forecasted. The $DXY Dollar Index is responding to the data with its fourth consecutive slide https://t.co/GsLyQwGaLC
  • White House says it is necessary for congress to extend eviction moratorium, current ban cannot be extended unilaterally after high court case -BBG
  • AUD/USD defends the advance following the Federal Reserve interest rate decision as the US Gross Domestic Product (GDP) report warns of a weaker-than-expected recovery. Get your $AUD market update from @DavidJSong here:https://t.co/6OpqGxv4ni https://t.co/eLEbTosjx9
  • RT @WVenketas: #FTSE100 index up 1% today and 9.70% YTD after several constituents posted record #earnings results with help from a #dovish…
USD/CAD Collapses as Canadian Employment Gains are Best in 5-Months

USD/CAD Collapses as Canadian Employment Gains are Best in 5-Months

Benjamin Spier, Technical Strategist

Talking Points:

  • Canadian net change in employment and unemployment better than expected
  • Canadian participation rate the lowest in a decade
  • USD/CAD falls to a 2-week low

Want to trade with proprietary strategies developed by FXCM? Find out how here.

The US Dollar fell to a 2-week low against the Canadian Dollar, as Statistics Canada reported lower unemployment and better than expected job gains in January.

The Net Change in Employment was announced at 29.4 thousand jobs, which was the best gain in employment in five months and better than expectations for an additional 20 thousand jobs in January. The unemployment rate fell to 7.0%, beating expectations for joblessness to fall only 1 percentage point from 7.2% unemployment in December.

However, the gains in employment were tainted by the participation rate falling to 66.3% in January, which was the lowest participation rate in over a decade. On a positive note, the employment change was comprised of a 50.5 thousand rise in full time jobs and a 21.1 thousand decline in part time positions, which was the a reverse of the gains in part-time jobs and fall in full-time employment seen in December.

In January, the Bank of Canada said that the direction of its next interest rate move depends on data flow. Therefore, better employment data adds to arguments for the central bank to look to tighten monetary policy. The BoC had mentioned the possibility of a rate increase up until last October.

However, because of a simultaneously released disappointing US Change in Non-Farm Payrolls print, a lot of the decline in USD/CAD was due to US Dollar weakness. The pair may next find support by the January 15 high at 1.0991.

New to Forex? Watch this video

USD/CAD 1-Minute: February 7, 2014

USDCAD_Collapses_as_Canadian_Employment_Gains_are_Best_in_5-Months_body_Picture_1.png, USD/CAD Collapses as Canadian Employment Gains are Best in 5-Months

Chart created by Benjamin Spier using Marketscope 2.0

-- Written by Benjamin Spier, DailyFX Research. Feedback can be sent to instructor@dailyfx.com .

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES