Are you looking for an event with the potential to create a stir on the canadian dollar and other currencies in the foreign exchange market and you should know that Canada will publish on Friday its monthly report on employment. To help you optimize your making pips, here is our usual tips of trading.
Back on the April report
In the month of April, the employment report was rather disappointing. With an increase of 3 200 new hires, it is, indeed, far short of the expectations located 20 000 but also far from the results of the month of march. It is also the lowest increase in nine months. Worse still, the details of the report show that full-time employment has fallen from 31 to 200. The rebound of 34 300 part-time jobs has, however, allowed to avoid the case, but the jobs gained are less qualitative. The unemployment rate, meanwhile, increased from 6.7% to 6.5%, its best level since 2008. However, this decline is based primarily on the fall in the participation rate, 65,6%, compared to 65,9% initially. Still a bad sign. Wage growth has also disappointed since the average hourly rate has fallen 0.15%.
Overall, the employment report for the month of April has failed to meet expectations. Logically, the dollar CAD is somewhat weakened on the foreign exchange market before starting to increase again with the increase in oil prices of the time.