- Canada creates 31,000 net new jobs; 92,000 of them full time, loses 61,000 part-time ; exponentially stronger than expected
- US trade deficit narrows to $30.7 bln in August from 31.9 bln in July; better than expected
- Canada posts C$2 bln trade deficit in August
- Japanese PM Hatoyama: Employment situation to worsen; more measures needed
- BOC autumn business survey upbeat
- Canada’s Harper: Still concerned about US economy
- Elliot Wave’s Prechter: Dollar has bottomed; will rally next year or more; Equity market to fall substantially below March lows
- S&P 500 rises 0.6% to 1071.50
- US bond yields rise sharply 10-year yield 3.38%
- Gold slightly lower at $1049; oil rises 0.6% to 72.27
The Canadian dollar was the star of the show today, extending its rally versus the dollar. The greenback fell as low as 1.0411 after shockingly strong Canadian employment data and an upbeat BOC business survey.We close at 1.0420.
Most of the other majors gave some ground against the dollar, particularly the pound. Cable broke to the downside today after rejecting key resistance at 1.6120 just yesterday. Heavy selling by institutional investors and disappointment over Cameron’s speech breaking no new ground at the Tory conference yesterday spilled over into today.We slipped as low as 1.5827 and close around 1.5840. 1.5768 is key near-term support.
EUR/USD range-traded in choppy fashion around 1.4750 in early New York before breaing to the downside late in the European session. Chinese bids at 1.4700 were filled in on the way to 1.4674 lows. China was spotted buying again near the lows and prices lifted to 1.4720 late, which is now a resistance level.
AUD/USD fell with EUR/USD with some pre-weekend profit-taking the prime driver. Chinese bids helped slow the decline in the 0.9020/25 area. 90.13 was the low and we close at 0.9040.
Great weekend everyone!
