Rising confidence in markets led investors to target higher yielding assets including crude oil, which supported the CAD to gain against the USD, and accordingly, pushed the USD/CAD pair lower, where investors feel optimistic over the outlook for growth in the United States, Canada’s largest trading partner.
Investors will be eyeing key data from the labor markets of both Canada, and the United States, where the Canadian jobs report is expected to show that employers added 15.0 thousand jobs in June, while the U.S. Non-farm payrolls are expected to show U.S. employers added 105,000 jobs in June, and if the Non-farm payrolls show similar strength to that shown in the ADP, we should expect the pair to extend its drop on Friday.
