Canadian Dollar rebounds as dismal NFP data weighs on USD
The post Canadian Dollar rebounds as dismal NFP data weighs on USD appeared on BitcoinEthereumNews.com. USD/CAD reversed its direction and dropped below 1.3800 on Friday. The USD came under strong selling pressure after dismal employment data. Trump administration raised the tariff rate on Canadian imports to 35%. The Canadian Dollar (CAD) erased a portion of its weekly losses against the US Dollar (USD) on Friday following the disappointing July employment report from the US. At the time of press, the USD/CAD pair was trading at 1.3795, losing about 0.5% on a daily basis. USD slumps as markets lean toward a September Fed rate cut The monthly data published by the US Bureau of Labor Statistics (BLS) showed on Friday that Nonfarm Payrolls (NFP) rose by 73,000 in July. This print missed the market expectation of 110,000. On a concerning note, the BLS revised NFP increases for May and June lower by 125,000 and 133,000, respectively. “With these revisions, employment in May and June combined is 258,000 lower than previously reported,” the BLS said in its press release. Meanwhile, the Unemployment Rate edged higher to 4.2% from 4.1% in June, as anticipated. The USD came under heavy selling pressure as investors reassessed the probability of a 25 basis points Federal Reserve (Fed) rate cut in September. According to the CME FedWatch Tool, markets are currently pricing in about a 70% chance of a 25 basis points rate cut at the next meeting, up from 33% before the employment data. Earlier in the day, the White House announced late Thursday that US President Donald Trump has signed an Executive Order increasing the tariff on Canada from 25% to 35%. Canada’s Prime Minister Mark Carney said that they are disappointed with the US’ decision to raise tariffs and added that they will remain focused on what they can control, while continuing negotiations. Canadian Dollar FAQs The key factors…
The post Canadian Dollar rebounds as dismal NFP data weighs on USD appeared on BitcoinEthereumNews.com.
USD/CAD reversed its direction and dropped below 1.3800 on Friday. The USD came under strong selling pressure after dismal employment data. Trump administration raised the tariff rate on Canadian imports to 35%. The Canadian Dollar (CAD) erased a portion of its weekly losses against the US Dollar (USD) on Friday following the disappointing July employment report from the US. At the time of press, the USD/CAD pair was trading at 1.3795, losing about 0.5% on a daily basis. USD slumps as markets lean toward a September Fed rate cut The monthly data published by the US Bureau of Labor Statistics (BLS) showed on Friday that Nonfarm Payrolls (NFP) rose by 73,000 in July. This print missed the market expectation of 110,000. On a concerning note, the BLS revised NFP increases for May and June lower by 125,000 and 133,000, respectively. “With these revisions, employment in May and June combined is 258,000 lower than previously reported,” the BLS said in its press release. Meanwhile, the Unemployment Rate edged higher to 4.2% from 4.1% in June, as anticipated. The USD came under heavy selling pressure as investors reassessed the probability of a 25 basis points Federal Reserve (Fed) rate cut in September. According to the CME FedWatch Tool, markets are currently pricing in about a 70% chance of a 25 basis points rate cut at the next meeting, up from 33% before the employment data. Earlier in the day, the White House announced late Thursday that US President Donald Trump has signed an Executive Order increasing the tariff on Canada from 25% to 35%. Canada’s Prime Minister Mark Carney said that they are disappointed with the US’ decision to raise tariffs and added that they will remain focused on what they can control, while continuing negotiations. Canadian Dollar FAQs The key factors…
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