The Canadian Dollar (CAD) is idling in a tight range, Scotiabank’s chief FX strategist Shaun Osborne notes.

Slips into a sideways range trade around 1.3725

“Canadian jobs data this morning are expected to show a rebound in hiring. The consensus expectation is for a 25k gain following the June drop of 1.4k. The 6m moving average for job gains sits at 32k while the 12m average is 39k so there may be some risk of a slightly higher print. But the unemployment rate is forecast to pick up a tenth to 6.5%, reflecting the expansion in the labour force, while hourly wage growth eases to 4.8% (from 5.6% in June).”

“Policymakers are concerned that rising unemployment will weigh on consumer activity and slow the economy in the coming months and are adjusting interest rates accordingly. That seems to be a conviction view that slightly better than expected data or elevated wage growth today is unlikely to shake. USDCAD is likely to remain well supported in the high 1.36s/low 1.37s for now.”