Worse than expected Canadian employment data pushed the Canadian dollar broadly lower and may be seen reinforcing the Finance Ministry's concerns repeated earlier this week that the Canadian dollar's strength was undermining the economy.
Canada was expected to have lost 10-15k jobs, but reported a net loss of 44.5k, though the unemployment rate remains steady at 8.6%. Full-time positions were cut by 29.1k and part -time jobs by 15.4k. Manufacturing lost 7k.
Earlier this week Australia reported disappointing jobs data, though the optics looked good, full-time jobs were slashed. There does not appear to be a good correlation between Canada and Australia's jobs data and the US employment data. There is too much noise and distortions, but the pattern is for disappointment and providing yet another reminder that employment data typically lags. USD potential toward CAD1.0900-CAD1.0930 before sellers may be enticed.