CAD Retraces Week’s Losses

Friday, March 9, 2018

The CAD has retraced all of its week’s losses on the back of tariff exemption as well as positive employment data. President Trump announced yesterday that although there would be tariffs implemented on steel and aluminum, Canada and Mexico would be exempt from these taxes indefinitely. Canadian Employment change was a miss coming in at 15.4K vs. the expected 21.3K. The Unemployment Rate returned to the lowest level in four decades at 5.8%, however this was mostly due to a surge in part time jobs offsetting a large loss in full time jobs.

The USD is mixed against most of the G10 currencies today with combatting fundamental releases dominating the overall tone. Average Hourly Earnings as well as the Unemployment Rate both missed their respective marks by 0.1%. While Non-Farm Employment Change was a massive beat coming in well ahead of the 205K forecast at 313K.

The EUR is soft after trading heavily post ECB press conference yesterday. We have seen some support at the current level into the North American trading session but many analysts are calling for another dip. Over the long run downside risk should be relatively limited.

Equities are up across the board this morning: the Dow up 0.84%, the S&P up 0.66%, the NASDAQ up 0.97% and the TSX up 0.12%. Crude Oil is up 1.65% this morning ($61.11) while Gold is also up 0.10% ($1,323.33).

To speak with a Foreign Exchange Specialist, call 1.866.752.7135. To get a free, no obligation quote on your foreign currency needs, complete the form below and a Foreign Exchange Specialist servicing your region will contact you within the business hour.

Fields marked with an * are required