Forex - USD/CAD pares losses after upbeat U.S. jobs report

Forexpros – The U.S. dollar pared losses against its Canadian counterpart on Thursday, pulling back from the daily low after official data showed that the number of people who filed for unemployment assistance in the U.S. fell more-than-expected last week.

USD/CAD pulled back from 0.9457, the daily low, to hit 0.9486 during early U.S. trade, still down 0.11% on the day.

The pair was likely to find support at 0.9409, Wednesday’s low and a multi-year low and resistance at 0.9423, the high of July 22.

The Department of Labor said the number of individuals filing for initial jobless benefits in the week ending July 22 fell by 24,000 to a seasonally adjusted 398,000, beating expectations for a drop to 412,000.  

The previous week’s figure was revised up to 422,000 from 418,000.

But the greenback remained under pressure ahead of a vote in the House of Representatives, on a proposed plan to raise the U.S. debt ceiling in order to avert a sovereign debt default ahead of the August 2 deadline.

The Canadian dollar was also higher against the euro, with EUR/CAD shedding 0.84% to hit 1.3531.

Also Thursday, the U.S. was to publish official data on pending home sales.




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