Investing.com - The U.S. dollar fell to a two-day low against its Canadian counterpart on Thursday, as upbeat U.S. jobless claims and manufacturing data and a well-received Spanish bond auction supported demand for riskier assets.
USD/CAD hit 1.0321 during early U.S. trade, the pair’s lowest since December 13; the pair subsequently consolidated at 1.0325, retreating 0.66%.
The pair was likely to find support at 1.0258, the low of November 29 and resistance at 1.0448, the high of November 28.
In a report, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits fell to a three-year low of 366,000 in the week ending December 10.
Analysts had expected jobless claims to rise to 390,000 last week.
A separate report showed that the New York Federal Reserve’s index of manufacturing conditions jumped to a seven-month high in December, rising to 9.5 after a reading at 0.6 the previous month.
Meanwhile, official data showed that producer price inflation in the U.S. rose 0.3% in November, broadly in line with expectations. The previous month’s figure fell by an unrevised 0.3%.
Sentiment improved earlier after Spain’s Treasury sold EUR6 billion of medium-and-long-term bonds, far surpassing a target of EUR3.5 billion.
The country sold EUR2.5 billion of five-year bonds at an average yield of 4.02%, down sharply from 5.27% at a similar auction last month. Spain also auctioned EUR1.4 billion of 10-year bonds at a yield of 5.54%, compared to 6.97% last month.
The loonie also found support as light, sweet crude futures for delivery in January traded at USD95.55 a barrel on the New York Mercantile Exchange, gaining 0.55%.
Raw materials, including oil account for about half of Canada’s export revenue.
The loonie was also higher against the euro with EUR/CAD shedding 0.25%, to hit 1.3459.
Earlier Thursday, official data showed that industrial production in the U.S. declined unexpectedly in November, falling 0.2% after a 0.7% rise the previous month.
Later in the day, the U.S. was to produce government data on manufacturing activity in Philadelphia.
USD/CAD hit 1.0321 during early U.S. trade, the pair’s lowest since December 13; the pair subsequently consolidated at 1.0325, retreating 0.66%.
The pair was likely to find support at 1.0258, the low of November 29 and resistance at 1.0448, the high of November 28.
In a report, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits fell to a three-year low of 366,000 in the week ending December 10.
Analysts had expected jobless claims to rise to 390,000 last week.
A separate report showed that the New York Federal Reserve’s index of manufacturing conditions jumped to a seven-month high in December, rising to 9.5 after a reading at 0.6 the previous month.
Meanwhile, official data showed that producer price inflation in the U.S. rose 0.3% in November, broadly in line with expectations. The previous month’s figure fell by an unrevised 0.3%.
Sentiment improved earlier after Spain’s Treasury sold EUR6 billion of medium-and-long-term bonds, far surpassing a target of EUR3.5 billion.
The country sold EUR2.5 billion of five-year bonds at an average yield of 4.02%, down sharply from 5.27% at a similar auction last month. Spain also auctioned EUR1.4 billion of 10-year bonds at a yield of 5.54%, compared to 6.97% last month.
The loonie also found support as light, sweet crude futures for delivery in January traded at USD95.55 a barrel on the New York Mercantile Exchange, gaining 0.55%.
Raw materials, including oil account for about half of Canada’s export revenue.
The loonie was also higher against the euro with EUR/CAD shedding 0.25%, to hit 1.3459.
Earlier Thursday, official data showed that industrial production in the U.S. declined unexpectedly in November, falling 0.2% after a 0.7% rise the previous month.
Later in the day, the U.S. was to produce government data on manufacturing activity in Philadelphia.