USD/CAD around 10-month lows after U.S. and Canadian job data

USD/CAD around 10-month lows after U.S. and Canadian job data

The U.S. dollar fell to the new 10-month lows against the Canadian currency on Friday, after the U.S. employment data demonstrated mixed performance and the same topic report from Canada was positive.

The USD/CAD pair reached 1.2887 during the morning trade in the U.S., touching the lowest position since September. But it was traded at 1.2893 afterward declaring loses at 0.66%. The pair obviously was supported at the level of 1.2818 and reached the resistance level at the mark of 1.3016 (Wednesday maximum). The Canadian currency also went up against the euro. The EUR/CAD pair was down by 0.92% to 1.4687.

According to the U.S. Department of Labor report, the country economy demonstrated 222,000 jobs increase in June, while analysts expected 179,000. The total jobs number of the previous month was reported at the level of 152,000 (newly created jobs), adjusted from the previously reported 138,000.

However, the unemployment rate rose to 4.4%, while on May this number was at the mark of 4.3%. Analysts expected that the rate would not change at all. Mentioned report also demonstrated that the average hourly earnings level in the country rose by 0.2% in June, while the forecasted growth rate was at 0.3% and the previous month adjusted rate was only at 0.1%. The report information added to the job market situation in the U.S. described by a payrolls processor ADP report. The report showed that U.S. private employer number was up by 158,000 last month, while economists expected more effective growth.

The Statistics Canada also released its report on employed people number and stated that it increased by 45,300 in June, while forecasts indicated 10,000. The previous month gain was reported at 54,500. The unemployment rate in the country for the mentioned period fell to 6.5% compared with the 6.6% rate of May. And according to forecasts, this rate had to remain unchanged.