A U.S. government report noted the labor market of the top commerce and trade partner to Canada saw stronger-than-reported gains during the months of November and December. The data suggest the globe’s biggest economy is growing stronger in the aftermath of damages during the Great Recession to befall the global economy.
“Euro/Canadian dollar is on a tear at the moment and it looks like for all the world it’s going to trade up to C$1.42,” chief currency strategist Shaun Osborne with TD Securities told Reuters on the first trading session of February.
After enduring losses of 0.3 percent against the U.S. dollar earlier in the Friday session, the Canadian dollar pulled itself up. The early losses were linked with the poor performance of crude oil, which is the top export of Canada.
The performance of the Canadian dollar also is likely to be impacted by the Friday release of U.S. data regarding manufacturing, spending on construction and sales of autos, according to Reuters.
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