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Forex - USD/CAD holds steady after U.S. data disappoints

Published 11/03/2016, 09:29 AM
© Reuters.  Greenback little changed vs. loonie in early trade
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Investing.com - The U.S. dollar held steady against its Canadian counterpart on Thursday, after the release of disappointing U.S. jobless claims data, although dropping oil prices still limited the Canadian currency’s gains.

USD/CAD hit 1.3361 during early U.S. trade, the session low; the pair subsequently consolidated at 1.3389.

The pair was likely to find support at 1.3348, the low of October 27 and resistance at 1.3432, the high of October 28 and a seven-month high.

The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending October 29 increased by 7,000 to 265,000 from the previous week’s total of 258,000. Analysts expected jobless claims to hold steady at 258,000 last week.

The greenback has also been under pressure since the FBI said last Friday that it would review more emails related to Hillary Clinton's private email use while she was secretary of state.

The news sparked fresh uncertainty over Mrs. Clinton’s election prospects ahead of the November 8 vote, amid fears over the implications of a victory for Republican candidate Donald Trump.

Meanwhile, the commodity-related Canadian dollar’s gains were capped as oil prices remained near five-week lows on Thursday after data showed that crude supplies in the U.S. rose by the most since records began last week.

The loonie was higher against the euro, with EUR/CAD shedding 0.25% to 1.4823.

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