Free Trial

USDCAD Consolidating Slide After Jobs Surge

CANADA
  • USDCAD continues to see little reaction to the day's broader USD strengthening, instead holding in a +/- 15 pip range around 1.336 (-0.7%) after a 90-pip decline on surging Canadian jobs.
  • In doing so has pushed through support at 1.3360 (Feb 8 low) and is near levels prior to the bumper US payrolls report. It does however appear to struggle to break materially lower to next open 1.3262 (Feb 2 low) without a stronger risk backdrop with SPX e-minis only just edging out gains.
  • Next week sees US CPI on Tue clearly headline. Few major CAD releases although IPPI and raw material prices on Fri (Feb 17) could see a little more attention than usual landing ahead of CPI (Feb 21).
  • CAD CPI might struggle to materially move market pricing for the Mar 8 meeting after the Bank’s conditional pause and need to see an accumulation of evidence but is nevertheless one to watch closely nearer the time.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.