USD/CAD down to 1.0885 as Jobs Report Revised

Canada’s dollar touched its highest level in more than two weeks as a corrected government report showed employers added more jobs than forecast last month, easing concern that the economic expansion is faltering.

The currency pared gains after the Ukraine said its troops destroyed Russian armed vehicles that crossed the border, prompting traders to seek a refuge in currencies such the U.S. dollar. Statistics Canada said 41,700 positions were added in July, after retracting incorrect figures from a week ago that showed a gain of 200 jobs. The unemployment rate wasn’t affected by the correction, falling to 7.0 percent from 7.1 percent in June.

“We saw a positive reaction to a significantly upward revision to the employment numbers,” Blake Jespersen, managing director of foreign exchange in Toronto at Bank of Montreal, said in a phone interview. “The numbers were priced in the market ahead of time so that’s why you didn’t see a large reaction.”

Bloomberg

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