The Canadian dollar soared today after the report showed that the Canadian employers added more jobs than the market participants expected and as the unemployment rate in the US dropped, suggesting that the economic recovery in the North American nations are gaining momentum.
The Canadian employment grew by 22,000, compared to the forecast growth by 19,100. The unemployment rate remained steady at 7.6 percent, while it was expected to increase slightly. The US unemployment rate slid from 9.8 percent to 9.4 percent in December, while it was expected to decrease only marginally to 9.7 percent. The
Today’s reports improved the outlook for the greenback and the loonie. The positive economic data spurred the speculation that the Bank of Canada may raise the interest rates in the near future.
USD/CAD closed at 0.9916 today after opening at 0.9964 and rising to the intraday high of 1.0003. EUR/CAD slumped from the opening price of 1.2954 to 1.2801 after it earlier went up to the intraday high of 1.2992.
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