Labour data will also be released in Canada today. Employment figures are set to lift the loonie, economists at ING report.

Balance of risk for CAD today is slightly tilted to the upside

“While a modest slowdown from March’s 70K increase in employment is expected (consensus is around 40K today), the release should prove broadly supportive of the Canadian dollar.”

“We also see some risk of an above-consensus read today given the strong demand backdrop, the positive implications of higher commodity prices for Canada’s oil and gas industry and apparently fewer labour constraints than in the US.”

“The balance of risk for CAD today is slightly tilted to the upside, though our preference for USD/CAD trading sub 1.25 in 2H22 will require some calmer international conditions.”

See – Canada Employment Preview: Forecasts from five major banks, battling a labour crunch