North American mid-week Market update – Weaker numbers in the US & better ones in Canada
BY
Ben Graham
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Log in to our mid-week North American Markets overview, where we examine the current themes in North America and provide an overview of indices and currency performances.
The longest US government shutdown in history (43rd day) is still ongoing, but a resolution to finally end it appears imminent, with the House vote scheduled for tonight at 7 p.m.
White House economic advisor Hassett also mentioned earlier this week that the shutdown will undoubtedly have a quantifiable negative impact on this quarter's GDP.
This impact on the US economy may have just been felt through a round of worrying private data this past week.
The Challenger Layoffs report indicated that the number of announced job cuts in October was the highest monthly total since October 2003.
This was corroborated by yesterday's ADP weekly report (a new series) which showed an average drop of 11K jobs in the private sector over the past four weeks, contradicting their own positive monthly report released on November 5th.
On the other hand, the northern neighbor, Canada, has been persistently surprising to the upside again.
This resilience is seen across the board: two consecutive months of surprise job gains (with October adding 67,000 jobs against an expected loss), continued consumer resilience in spending, and this morning's building permits beat of 4.5% versus a 1% expectation.
The back-to-back strong labor reports have helped to strengthen the CAD, but still expect some caution at the December meeting where only 13% chance of a cut is priced.
North America is facing some of the most complex and contradictory economic dynamics throughout 2025, and this complexity will only continue going forward, particularly with the White House saying that the Bureau of Labor Statistics (BLS) might not release the October numbers even after the government reopens.
A bad development for the times to come – Let's see how this unfolds when the Government officially reopens.
In any case, let's dive right into a few charts to get an overview on North American Markets, from US and Canadian equity Markets performance, USD and CAD performance to USD/CAD and DXY charts.
North-American Indices Performance
Stellar recovery from the Dow Jones and the TSX after the end of last week's sharp selloffs.
The tech-heavy Nasdaq and S&P 500 have struggled in this ongoing rotation.
Dollar Index 8H Chart
Despite retracing 0.90% since last Wednesday, the Dollar Index is holding its upwards channel formed throughout October.
The 8H MA 50 is acting as immediate support at the lower bound, hence reactions could be expected here.
A break lower however may point at further rangebound action in the Greenback as the Market still awaits BLS data.
Levels to place on your DXY charts:
Resistance Levels
Support Levels
US Dollar Mid-Week Performance vs Majors
Canadian Dollar Mid-Week Performance vs Majors
Intraday Technical Levels for the USD/CAD
USD/CAD has started to post quite a reversal from its 1.4143 extremes attained last week.
The bearish divergence with which it went down may confirm that the intermediate top might be one for the longer run, nonetheless bears will have to push the pair below 1.40 on a weekly close to confirm.
RSI momentum is also starting to turn right below the neutral line.
Levels to place on your USD/CAD charts:
Resistance Levels
Support Levels
US and Canada Economic Calendar for the Rest of the Week
Expect somewhat of a release drought towards the end of the week, but traders can still track what the FED has to say, particularly as the December cut appears more "live" when looking at the recent private data.
What will be really interesting however will be to see how the BLS plans their releases as the Government reopens (hopefully) tonight.
Safe Trades!
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