USD/CAD: US Dollar Skyrockets on Impressive US Jobs Report, Canadian Numbers Miss Forecasts

The US dollar caught a significant bid against the Canadian dollar in today’s session after the US labour market beat forecasts with a whopping 266,000 gain in jobs in November.

Not only did the US economy create the highest number of jobs since January, but the unemployment rate also fell to a half-century low of 3.5% and wages gained 3.1% from a year earlier, exceeding market expectations. November was also the first month that included General Motors Co. workers who returned to work after a strike, adding 41,300 to the payrolls number.

The labour market report backs the Federal Reserve view to keep interest rates unchanged for the time being, after three consecutive cuts. As noted earlier by the central bank, labour market remains robust and could fuel further economic growth.

Unlike the roaring numbers from the US, the Canadian jobs report failed to impress. Canada’s employment fell by 71.2K in November, missing forecasts of a 10K rise, and the unemployment rate jumped to 5.9% – the highest level since October last year. Average hourly earnings also came in lower than expected at 0.2%.

Both the US and Canadian labour market reports took the markets quite by surprise, given the slowing trend in US NFP and acceleration in Canadian job numbers in recent months.

Following the reports, the Canadian dollar gave back most of its post-BoC gains in today’s session, falling as much as 0.64% against the greenback at the time of writing. As of 2:30 p.m. London time, the USD/CAD pair traded at 1.3257, up from an intraday low of 1.3171.

The resistance zone of a recent range could help the Canadian dollar pick up some support around the 1.3270 level in the short-term. is a news site only and not a currency trading platform. is a site operated by TransferWise Inc. (“We”, “Us”), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of TransferWise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on do not represent our views.