Canadian net change in employment rises by 25.8K
Full time employment falls for the second month
CAD/JPY falls to a weekly low
May Canada Employment Data
Net Change in Employment
Full Time Employment Change
Part Time Employment Change
The Canadian Dollar declined in Forex markets as full-time employment fell for the second consecutive month in May. The net change in employment rose by an additional 25.8 thousand additional jobs, which beat expectations, but the gain in employment was fueled by part-time jobs. Statistics Canada also reported that the unemployment rate rose back to 7.0% following two months of 6.9% unemployment.
Earlier this week, the Bank of Canada maintained a neutral tone on the direction of its next rate change, citing inflation remaining below target. The BoC also considers the strength of the economy and employment before changing the target interest rate, therefore the continued decline in full-time employment may discourage the central bank from tightening monetary policy.
CAD/JPY 1-Minute: June 6, 2014
That's why the Canadian Dollar declined over 20 pips against the Yen following the release and set a new weekly low at 93.43. In the more popular USD/CAD pair, Technical Strategist Jamie Saettele says the next bull leg may be underway with support near 1.0880.
USD/CADDaily by Jamie Saettele