Investing.com - The U.S. dollar rose against its Canadian counterpart on Monday, but gains were expected to remain limited as Friday’s upbeat U.S. employment data failed to alter expectations that the Federal Reserve will hold off from raising interest rates for now.
USD/CAD hit 1.3083 during early U.S. trade, the session high; the pair subsequently consolidated at 1.3030, adding 0.14%.
The pair was likely to find support at 1.2857, Thursday’s low and a five-month low and resistance at 1.3216, the high of March 29.
The Labor Department reported on Friday that the U.S. economy added 215,000 jobs last month, ahead of economists’ expectations for jobs growth of 205,000.
The unemployment rate ticked up to 5% from an eight-year low of 4.9% as more people entered the labor market.
Average hourly earnings rose by seven cents last month after falling two cents in February.
However, the upbeat data did little to alter expectations that the Fed will remain cautious about hiking interest rates this year.
Meanwhile, sentiment on the commodity-related Canadian dollar remained fragile as oil prices fell to four-week lows on Monday amid growing doubts over the likelihood of a collective supply cut happening later this month.
The loonie was lower against the euro, with EUR/CAD edging up 0.20% to 1.4862.