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Forex - USD/CAD edges higher in early trade

Published 10/21/2013, 09:36 AM
USD/CAD
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EUR/CAD
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Investing.com - The U.S. dollar edged higher against the Canadian dollar on Monday, ahead of Tuesday’s U.S. jobs report for September, amid speculation over whether the Federal Reserve will delay plans to taper stimulus.

USD/CAD hit 1.0304 during early U.S. trade, the highest since Thursday; the pair subsequently consolidated at 1.0298, edging up 0.07%.

The pair was likely to find support at 1.0276, Friday’s low and a three-week low and resistance at 1.0331, Thursday’s high.

The greenback firmed up after falling sharply against the other major currencies last week on concerns over the impact of the 16-day government shutdown on the U.S. economic recovery and whether this may prompt the Fed to delay plans to roll back stimulus measures.

Investors were awaiting U.S. data releases later in the week after the shutdown delayed the release of some key economic reports. The September nonfarm payrolls report, which had been originally scheduled for release on October 4, was due on Tuesday.

The Canadian dollar showed little reaction after official data showed that Canadian wholesale sales increased by a seasonally adjusted 0.5% in August, compared to expectations for a 0.7% gain.

Wholesale sales for July were revised up to a 1.7% increase from a previously reported gain of 1.5%.

Elsewhere, the loonie, as the Canadian dollar is also known, was slightly higher against the euro, with EUR/CAD slipping 0.13% to 1.4066.




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