The loonie's biggest gains in seven days on Thursday following Wednesday's lows mark the highlight of a week that thus far has seen the monetary unit damaged by ongoing tumult in the euro zone, according to Bloomberg.
"In the case of Canada, it's more tomorrow's employment data that is critical rather than today's data to the extent that that probably is … one of the more important determinants of the Bank of Canada executing the tightening bias that it now carries," FX strategy global head Adam Cole with RBC Capital Markets in London told Reuters. "So the fact that the Bank of Canada put that tightening bias in place at the last meeting does throw the spotlight a bit more onto the domestic indicators than it has been in recent months."
Statistics Canada is set to release jobs data from April that will indicate hiring slowed, according to a Bloomberg survey.
The euro zone's struggle with the sovereign debt crisis is likely to deepen following elections this past weekend when France elected a leftist who will take office next week and Greek victors could not assemble a new government, setting up the prospect of new elections.
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