DXY rebounds from 7-week low after 911K jobs revision, but bearish fundamentals continue to weigh on dollar strength.
Markets fully price in a 25bps Fed cut, with a 12% chance of a 50bps cut, as labor data erodes confidence in U.S. growth.
The U.S. dollar rose modestly to 1.3836 against the Canadian dollar, remaining below resistance at 1.3854. The pair continues to respect the 50-day SMA at 1.40 as resistance, while support sits at 1.3726. Canada’s relatively stable economic outlook and the Bank of Canada’s rate hold have kept CAD supported, though direction will likely hinge on broader USD trends and oil prices.
