CAD data Preview: What to expect of USD/CAD

Canadian Labor Force Survey is due later in the NA session. Market consensus expects the Employment Change to have increased by almost 4K during May, while the jobless rate is seen steady at 7.1%.

The focus of attention today will be on the impact of the wildfires in Western Canada, with jobs in the extraction industry as well as the services, trade and accommodation sectors poised to have suffered the most in today’s survey.

In the FX space, CAD could depreciate to recent highs in the 1.2760 area in case of a miss today, while a positive surprise could probably see the Canadian currency reclaiming part of the ground lost in the last two sessions.