USD/CAD – CAD on fire after wild jobs report

  • Canada Jan Full-Time Jobs +30,900; Part-Time +36,000
  • Canada Jan Avg Hourly Wages +2.0% From Year Ago
  • Canada Jan Participation Rate At 65.6% Vs 65.4% In Dec
  • Canada Jan Jobless Rate 5.8%; Dec 5.6%
  • Employment in Canada surged last month, led by the biggest one-month private-sector hiring ever recorded, while the unemployment rate climbed on a sharp increase in the number of younger people looking for a job.

    The Canadian economy added a net +66.8K jobs in January – the market was expecting a net job increase of +5K.

    Canada’s jobless rate climbed to +5.8% in January, from +5.6% m/m. The uptick is being attributed to more people looking for work.

    An estimated +103K Canadians joined the labor force in January, the largest one-month gain in a decade.

    CAD has rallied hard on the surprise number, up +0.6% to C$1.3241 – the loonie was trading at C$1.3303 ahead of the release.

    This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

    Dean Popplewell

    Dean Popplewell

    Vice-President of Market Analysis at MarketPulse
    Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
    Dean Popplewell