Forex
US Jobs Report Gives Dollar a Boost Against Loonie
A strong US jobs report has given the US dollar a boost against the Canadian dollar, also known as the loonie.
The US added 162,000 jobs in August, while Canada lost 42,000. This unexpected gap between the two countries' labor markets has investors rethinking their expectations for interest rates.
The Federal Reserve is now seen as likely to keep rates higher for longer compared to the Bank of Canada, which can draw global money towards US-dollar assets and lift the greenback. As a result, the US dollar rose 0.4% to CA$1.3839.