Canada gained no less than 48.3K jobs in January 2017. The strong start to the year was much better than a drop of around 10K jobs expected. It also came on top of a big positive surprise back in December, with over 53K jobs gained. The unemployment rate dropped to 6.8%
The unemployment rate dropped to 6.8%, also a positive surprise, especially as the participation rate advanced from 65.8% to 65.8%. The only downside comes from the composition of the jobs gained: around two-third, or 32.4K to be precise, were from part-time jobs.
Nevertheless, this is a positive jobs report and a reason to be cheerful, at least if you are a Canadian dollar bull. The C$ appreciated against the greenback with USD/CAD falling back to the 1.30 handle.
The low so far has been 1.3060. Support is at the round number of 1.30. Resistance is at 1.3080.
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