USD/CAD Turns Bearish Again, After the Great Employment Report From Canada
Skerdian Meta•Friday, April 9, 2021•1 min read
USD/CAD has been on a bearish trend for about a year, since WTI crude Oil reversed higher from all time lows in April last year. The CAD has benefited from it, hence the bearish trend in this pair for nearly a year. Since the middle of March though, this pir has retraced higher, climbing around 3 cents as the USD gains some momentum, but today’s employment report from Canada showed some really strong gains for March, so USD/CAD has turned bearish again now.
Canada March Employment Report
- March employment +303.1K vs +100.0K expected
- February employment was +259.2K
- Full time +175.4K vs +88.2K prior
- Part time 127.8K vs +171.0K prior
- Unemployment rate 7.5% vs 8.0% expected (8.2% prior)
- Participation rate 65.2% vs 64.7% prior
- Hourly wage rate for permanent employees +2.0% vs 1.9% y/y expected
- Prior wage rate +4.3% y/y
- Total hours worked +2.0% vs +1.4% prior
- Long-term unemployment flat in March
This is a sensational jobs report. As a rule of thumb, you multiply this by 10 to give you a sense of how it would compared to non-farm payrolls. That’s imperfect in a lot of ways because Canadian data is more volatile but it’s undoubtedly an amazing report.
Sadly, much of that progress is going to be erased in April because of strict lockdowns but I think you can look beyond that and conclude that Canada can bounce back quickly once the vaccines really roll out, which is going to be May, June, July. With this report, employment is within 1.5% of its pre-covid level, or just 296K jobs.
Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
ABOUT THE AUTHOR
See More
Skerdian Meta
Lead Analyst
Skerdian Meta Lead Analyst.
Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
Related Articles
Comments
Subscribe
Login
Please login to comment
0 Comments
Oldest
Sidebar rates
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals