Canada: ADP Employment Change arrives at -205.4K in August

• ADP data showed employment in Canada declined sharply in August.
• USD/CAD trades in the positive territory above 1.3200. 

Employment in Canada decreased by 205,400 July to August, the monthly data published by the ADP Research Institue revealed on Thursday. This reading missed the market expectation for an increase of 901,800 by a wide margin. Meanwhile, July's print got revised from 1,149,800 to -523,000.

Commenting on the data, “in August, the labour market posted a decline in employment with the greatest job losses in construction; trade, transportation and utilities; and manufacturing,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “Leisure and hospitality and finance, however, posted job gains for the first time since March 2020.”

Market reaction

The USD/CAD pair edged slightly higher with the initial reaction and was last seen gaining 0.25% on the day at 1.3209.