USD/CAD extends losses as weak US labor data boosts Fed cut bets
The post USD/CAD extends losses as weak US labor data boosts Fed cut bets appeared on BitcoinEthereumNews.com.
The Canadian Dollar (CAD) strengthens against the US Dollar (USD) on Tuesday, with USD/CAD reversing earlier gains as the Greenback weakens following soft labor market data. At the time of writing, the pair is trading around 1.4008, hovering near two-week lows. Data from ADP showed that the United States lost an average of 11,250 private-sector jobs in the four weeks ending October 25, compared with 14,250 previously. The weak figures added to concerns about the labor market’s resilience and fueled expectations for further monetary policy easing by the Federal Reserve (Fed). The US Dollar Index (DXY), which tracks the Greenback against a basket of six major currencies, trades near 99.30, marking its fifth consecutive daily decline. According to the CME FedWatch Tool, markets are now pricing in nearly a 70% probability of a rate cut in December, up from 62% a day earlier. However, the latest figures contrast with last week’s data. The ADP Employment Change report showed that US private payrolls rose by 42,000 in October, exceeding market expectations for a 25,000 gain and reversing the 29,000 decline reported in September. In the same period, the Challenger Job Cuts report revealed that US employers announced 153,074 job cuts in October, the highest monthly total since 2003. This divergence between private-sector employment data and job cuts highlights the uneven nature of recent US labor indicators and keeps investors cautious as they await official labor market data. At the same time, optimism over a resolution to the record-long US government shutdown after the Senate voted 60-40 on Monday to approve a temporary funding bill has provided little support to the Greenback. The deal, which keeps the government funded until January 30, eases short-term uncertainty but deepens fiscal concerns as debt levels continue to rise. With delayed US economic data releases expected…
Filed under: News - @ November 11, 2025 6:30 pm