The U.S. employment data continues to show strength in the economy, the surprising large number of new jobs has given economists a more positive view. The underlying issue that was weighing on the markets was the perceived labour shortage. It was thought that if manufacturers and those in the service industries were unable to find staff then it would take longer for the economy to start up. However, the numbers while good were not enough to provide
Ammunition for the Federal Reserve to contemplate change its interest rate forecast. It is still within the guidelines of a growing and robust economy.
The Canadian dollar improved against the USD on this news, plus commodities in general are still trading at recent levels, oil is $73 USD a barrel ($93 CAD), which is significant and will likely touch $85 USD ($105 CAD) over the summer.
Expect the CAD to trade on the stronger side today, expect quite trading as it’s a long weekend in the States.