[B]USDCAD – [/B]The Canadian economy lost 41.8K jobs in May amid expectations for a 36.5K drop in employment, while the annual rate of unemployment surged to an 11-year high of 8.4% from 8.0% in the previous month
[B]Fundamental Headlines[/B]
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[B]USDCAD – [/B]The Canadian economy lost 41.8K jobs in May amid expectations for a 36.5K drop in employment, while the annual rate of unemployment surged to an 11-year high of 8.4% from 8.0% in the previous month. The breakdown of the report showed full-time positions slumped 58.7K, while a 17K rise in part-time jobs helped to stem the downturn in the labor market. The data reinforces a weakening outlook for the world’s eighth largest economy as the U.S., Canada’s biggest trading partner, faces its worst recession in over half a century, and firms may continue to scale back on production and employment as global trade conditions deteriorate. For more news and resources, visit the Canadian Dollar Currency Room.
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[B]USDCHF – [/B]Consumer prices in Switzerland increased 0.2% in May, while the annual rate of inflation slipped 1.0% from the previous year to mark the biggest contraction since 1959. The data continues to reinforce the downside risks for deflation, and raises the risks for an intervention by the SNB as the central bank attempts to steer the economy out of a deepening downturn. Meanwhile, SNB’s Philipp Hildebrand said that the central bank may adopt ‘far-reaching’ policies to stimulate the ailing economy, and went onto say that the central bank has the appropriate tools to support economic activity. For more news and resources, visit the Swiss Franc Currency Room.
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[B]GBPUSD[/B] – Input price in the U.K. grew 0.4% in May, driven by higher energy costs paired with increased taxes on alcohol and tobacco products, with output prices falling to 0.4% from a revised reading of 0.7% in April. Meanwhile, the annualized PPI for outputs fell 0.3% from the previous year amid expectations for a 0.4% decline, while core prices slipped to 0.2% from 0.5% from the previous month. The data suggests that price pressures are likely to remain subdued throughout the medium-term as economic activity falters, and the outlook for inflation remains bleak as the region faces its worst economic downturn in over half a century. For more news and resources, visit the Pound Currency Room.
