Technical analysis and trading recommendations - https://fxpcm.com/en/fx/usdcad-most-important-macroeconomic-data-us-08072016
After 15:00 published weekly data from the US Department of Energy on oil and petroleum products storage facilities in the United States, oil prices fell sharply, losing a day more than 2.5 dollars per barrel.
Oil prices fell to a two-month low after data showed less significant than expected reduction of stocks of oil and oil products, including gasoline.
At the end of trading on the NYMEX oil has fallen in price by 4.8%. Spot price for Brent crude sank to a mark of 47.10. The Canadian dollar, remaining commodity currency, and responsive to the dynamics of the oil market fell yesterday after oil prices.
Canada is a net exporter of oil. Oil and gas sector is an important part of the economy of this country. Oil is an important source of export revenue in Canada, and oil prices have a strong correlation with the Canadian dollar quotations.
Oil prices fall as against the background of the uncertain economic situation in the world and investors' concerns about a slowdown in the Eurozone economy and oil consumption in the region after Brexit.
The volume of oil production in the world remains at the same high level. The proposal is much greater than demand.
The focus of investors today will certainly be published in the 12:30 (GMT) on the labor market data in the US in June.
It is expected that the number of new jobs created is with non-agricultural sector of the US economy in June increased by 175,000 and the unemployment rate remained below the level of 5.0% (4.8% against 4.7% in May).
If the data are confirmed or will be better than expected, including data on the hourly wage, it will strengthen the US dollar, as revive the market expectations of an early rate hike next.
However, if the data on the US labor market published today will be worse than expected, this would entail the sale of the US dollar, including the pair USD / CAD. A little later (at 13:30 GMT) published data on the labor market in Canada. It is expected that the increased number of Canadian jobs in June, only 5,000, and the unemployment rate rose to 7.0% from 6.9%. Most likely, the Canadian dollar will ignore the data on the labor market in Canada. The main impetus in the pair USD / CAD is expected today from data on US NFP.