FX Economic Data : Canada Unemployment shows better than expected job growth

Canada's February  Unemploymnet rate unchanged at 5.8 % (Below epectations of 5.9 %) Emplyment Change +43.3k (expected +0.3K)

USDCAD plunges over 50 bps on the MUCH HIGHER than expected employment number.

Employment growth in February was in construction, public administration and professional, scientific and technical services. On the downside there was declines in manufacturing and natural resources.

The growth in employment continues to surprise on the upside despite the strong CAD and weakness of growth in domestic GDP (due to decreased US export demand).  The CAD has gotten stronger off the number, trading as low as 0.9740.  It has since rebounded as the market prepares for the US employment report.

The relationship between the CAD and US employment is not highly correlated.