Forex – USD/CAD trims gains despite positive U.S. data

The U.S. dollar trimmed gains against its Canadian counterpart on Thursday, despite the release of positive U.S. economic reports, as concerns over U.S. political turmoil continued to weigh heavily on the greenback

USD/CAD pulled back from 1.3670, the pair’s highest since May 15to hit 1.3609 during early U.S. trad, still up 0.08%.

The pair was likely to find support at 1.3568, Wednesday’s low and resistance at 1.3723, the high of May 15.

The U.S. Department of Labor said the initial jobless claims in the week ending May 13 decreased by 4,000 to 232,000 from the previous week’s total of 236,000. Analysts expected jobless claims to rise by 4,000 to 240,000 last week.

Separately, the Federal Reserve Bank of Philadelphia said that its manufacturing indexjumped to 38.8 this month from April’s reading of 22.0. Analysts had expected the index to decline to 19.5.

But the greenback remained under pressure following reports U.S. President Donald Trump asked former FBI Director James Comey to end the agency’s investigation into ties between former White House national security adviser Michael Flynn and Russia.

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