Investing.com - The U.S. dollar fell to a session low against the Canadian dollar on Thursday, after better-than-forecast U.S. employment data bolstered market sentiment, dampening demand for the greenback.
USDCAD hit 0.9848 during early U.S. trade, the pair’s lowest since Tuesday; the pair subsequently consolidated at 0.9850, shedding 0.58%.
The pair was likely to find near-term support at 0.9841, the low of August 28 and a three-month low and resistance at 0.9913, the session high.
Payroll processing firm ADP said U.S. non-farm payrolls rose by 201,000 in August, beating expectations for a 140,000 increase and following a rise of 173,000 the previous month.
Meanwhile, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits last week fell to 365,000 from 377,000 compared to expectations for a decline to 370,000.
The previous week’s figure was revised up to 377,000 from a previously reported 374,000.
Elsewhere, European Central Bank President Mario Draghi unveiled details of the bank’s bond purchasing program, dubbed Outright Monetary Transactions.
Draghi said "strict and effective conditionality” was an essential element of the plan, under which the ECB would unlimited amounts of bonds of up to three years in maturity.
The ECB also slashed its forecast for economic growth for this year, to a contraction of 0.6%, from a previous forecast for a 0.2% contraction.
The ECB maintained the benchmark interest rate at a record-low 0.75% earlier, in line with market expectations.
The loonie, as the Canadian dollar is also known, was higher against the single currency, with EUR/CAD down 0.64% to 1.2401.
Later Thursday, the U.S. was to release a report by the Institute for Supply Management on service sector activity.
USDCAD hit 0.9848 during early U.S. trade, the pair’s lowest since Tuesday; the pair subsequently consolidated at 0.9850, shedding 0.58%.
The pair was likely to find near-term support at 0.9841, the low of August 28 and a three-month low and resistance at 0.9913, the session high.
Payroll processing firm ADP said U.S. non-farm payrolls rose by 201,000 in August, beating expectations for a 140,000 increase and following a rise of 173,000 the previous month.
Meanwhile, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits last week fell to 365,000 from 377,000 compared to expectations for a decline to 370,000.
The previous week’s figure was revised up to 377,000 from a previously reported 374,000.
Elsewhere, European Central Bank President Mario Draghi unveiled details of the bank’s bond purchasing program, dubbed Outright Monetary Transactions.
Draghi said "strict and effective conditionality” was an essential element of the plan, under which the ECB would unlimited amounts of bonds of up to three years in maturity.
The ECB also slashed its forecast for economic growth for this year, to a contraction of 0.6%, from a previous forecast for a 0.2% contraction.
The ECB maintained the benchmark interest rate at a record-low 0.75% earlier, in line with market expectations.
The loonie, as the Canadian dollar is also known, was higher against the single currency, with EUR/CAD down 0.64% to 1.2401.
Later Thursday, the U.S. was to release a report by the Institute for Supply Management on service sector activity.