USD/CAD eases from tops to 1.3350 area on upbeat PMI data
- Canadian Ivey PMI figures beat expectations.
- US Dollar Index erases Wednesday losses.
- WTI stays in consolidation channel above $62.
The USD/CAD pair rose to a daily high of 1.3373 in the early NA session but struggled to push higher with the CAD gathering strength on upbeat data from Canada. As of writing, the pair was up 0.05% on a daily basis at 1.3350.
The Ivey PMI in Canada in March rose to 54.3 (seasonally adjusted) from 50.6 in February and bettered the analysts' estimate of 51.1. Meanwhile, after finding resistance near the $63 handle yesterday, the barrel of West Texas Intermediate stays in its tight consolidation range above $62, failing to provide a directional clue to the commodity-sensitive loonie.
On the other hand, following yesterday's drop, the US Dollar Index staged a strong rebound on Thursday and rose to 97.30 area to keep the pair's losses limited. The only data from the U.S. today revealed that initial weekly jobless claims fell to its lowest level since 1969 at 202K to support the DXY's daily advance.
On Friday, employment data from Canada and the United States will be looked upon for fresh impetus. Previewing the NFP report, “After the two volatile months to start this year, we suspect seasonal distortion is still affecting nonfarm payrolls data. If, as we expect, Friday’s employment report shows employers added 160,000 jobs in March, the January payroll change would be traditionally categorized as the rogue payroll print for Q1-2019,” Wells Fargo Analysts said.
Technical levels to consider