Investing.com - The U.S. dollar rose to session highs against the Canadian dollar on Wednesday following the release of upbeat U.S. employment data and trade data from the U.S. and Canada.
USD/CAD hit 1.0565 during early U.S. trade, the session high; the pair subsequently consolidated at 1.0554, gaining 0.10%.
The pair was likely to find support at 1.0490, Tuesday’s low and near-term resistance at 1.0576, Tuesday’s high and a 21-month high.
Payroll processor ADP said the U.S. private sector added 188,000 jobs in June, more than expectations for an increase of 160,000.
Separately, the U.S. Department of Labor said the number of people who filed for unemployment assistance last week fell by 5,000 to a seasonally adjusted 343,000, compared to expectations for a drop of 3,000 to 345,000.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls data, for further clues on when the Federal Reserve may decide to unwind its USD85 billion-a-month stimulus program.
Also Wednesday, official data showed that the U.S. trade deficit unexpectedly widened to USD45.0 billion in May from a deficit of USD40.2 billion in April, as the value of imports rose to USD232.1 billion, the second highest level on record.
Meanwhile, Statistics Canada said the trade deficit unexpectedly narrowed to CAD0.3 billion in May, from a deficit of CAD1.0 billion in April as imports fell 3.2% and exports declined 1.6%.
The loonie, as the Canadian dollar is also known, was almost unchanged against the euro, with EUR/CAD dipping 0.01% to 1.3687.
The ISM was to produce a report on U.S. service sector activity later in the trading day.
USD/CAD hit 1.0565 during early U.S. trade, the session high; the pair subsequently consolidated at 1.0554, gaining 0.10%.
The pair was likely to find support at 1.0490, Tuesday’s low and near-term resistance at 1.0576, Tuesday’s high and a 21-month high.
Payroll processor ADP said the U.S. private sector added 188,000 jobs in June, more than expectations for an increase of 160,000.
Separately, the U.S. Department of Labor said the number of people who filed for unemployment assistance last week fell by 5,000 to a seasonally adjusted 343,000, compared to expectations for a drop of 3,000 to 345,000.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls data, for further clues on when the Federal Reserve may decide to unwind its USD85 billion-a-month stimulus program.
Also Wednesday, official data showed that the U.S. trade deficit unexpectedly widened to USD45.0 billion in May from a deficit of USD40.2 billion in April, as the value of imports rose to USD232.1 billion, the second highest level on record.
Meanwhile, Statistics Canada said the trade deficit unexpectedly narrowed to CAD0.3 billion in May, from a deficit of CAD1.0 billion in April as imports fell 3.2% and exports declined 1.6%.
The loonie, as the Canadian dollar is also known, was almost unchanged against the euro, with EUR/CAD dipping 0.01% to 1.3687.
The ISM was to produce a report on U.S. service sector activity later in the trading day.