5.80%, a level that was not seen since the 1970s. February Net change in employment is estimated at 15’400 following January decline at -88’000, mainly boosted by an increase in part-time jobs and decline in full-time positions while Canadian hourly earnings remained solid, valued at 3.10% (previous: 3.30%), signalling a deceleration in the job market, just like the world economy.
As ongoing negotiations between Trump’s administration and its neighbour commercial partners concerning NAFTA trilateral agreements continue, we see the former as a key driver for the foreseeable future of Canadian economic health. In any case, if no agreements are found, Canada and Mexico will be subject to US tariffs on steel and aluminium, losing their privileged treatment.
Currently trading at 1.2855, USD/CAD remains stable since the beginning of the year (YTD: +2.47%), approaching its hourly resistance at 1.3015 (07/05/2017 high) and expected to become event-driven for the periods to come.
By Vincent Mivelaz