Canadian Dollar: Softer Canada jobs seen weigh against US Dollar – BBH
The post Canadian Dollar: Softer Canada jobs seen weigh against US Dollar – BBH appeared on BitcoinEthereumNews.com. Brown Brothers Harriman’s (BBH) Elias Haddad describes USD/CAD trading just below 1.4200 and broadly aligned with US-Canada two-year yield spreads ahead of June labor data. Haddad expects a sharp slowdown in job gains to 10k and sees scope for markets to pare Bank of Canada hike pricing, arguing this adjustment would leave USD/CAD biased higher in coming sessions. Labor data risk skewed to upside “USD/CAD is directionless just under 1.4200.” “Canada’s June labor force survey is the domestic highlight (1:30pm London, 8:30am New York). The economy is expected to add +10.0k jobs in June vs. +87.8k in May and the unemployment rate is forecast to remain at 6.6% for a second straight month.” “USD/CAD is trading in line with US-Canada 2-year bond yield differentials. But there is room for Bank of Canada rate hikes bets (50bps in the next twelve months) to adjust lower, leaving