The USD/CAD exchange rate has jumped 80 pips higher following the release of better-than-expected US economic data. The US dollar is currently underperforming in trading today due to positive risk sentiment and strong earnings from Nvidia. The positive risk sentiment has been influenced by the release of eurozone and UK PMI data, which also impacted market movements [acec85d9].
The US economic data showed improvement, with the Manufacturing PMI rising to 50.9 and the Services PMI surging to 54.8. These stronger-than-anticipated PMI readings reflect a resilient US economy. The positive data has influenced market sentiment and policy expectations, resulting in a positive impact on the US dollar [acec85d9].
The USD/CAD rate found support at moving averages and broke the descending trendline. The jump in the USD/CAD rate is a result of the positive US data and the broader risk sentiment. Overall, the performance of the US dollar remains positive amid fluctuating market dynamics and a focus on the Federal Reserve [acec85d9] [614d63d3].