Canadian employment report shows disappointing numbers

Today's expected range for the Canadian Dollar against the major currencies:

US Dollar         1.2050-1.2150

Euro                 1.4650-1.4750

Sterling            1.7075-1.7175

The US Dollar Index is marginally higher this morning ahead of the US jobs report, a very strong jobs number should push the US Dollar a lot higher as investors will be looking for a quicker end to the US Federal Reserve's stimulus program and higher interest rates.

The Canadian Dollar is also much weaker this morning with USD.CAD trading at 1.2110 (0.8258) as the Canadian Market awaits the Canadian Employment report.

US Employment Report Market Expectation / Actual Number

650K / 559K

Canadian Employment Report Market Expectation / Actual Number

-20K / -68K

The US report is pretty much as expected but the Canadian number is disappointing.

The US Dollar seems to be losing some ground to the Euro and Pound as both EURO.USD and GBP.USD are trading higher after the number.

Surprising to me is that USD.CAD is actually falling so the Loonie is actually picking up some gains as a result of the weaker US Dollar. I don't think the Loonie will pick up as much strength as the other currencies because of the poor Canadian report, US Dollar buyers may want to keep an eye on this drop and see what they can get.