• The US Dollar rally halts below 1.3945 with investors awaiting US employment data.
• Nonfarm Payrolls are expected to have declined significantly, but the unemployment rate is seen steady at 4.1%.
• Oil prices are rallying on speculation that Tehran is preparing a retaliation to Israel.

The Dollar is trading with marginal losses against its Canadian counterpart on Friday. A cautious market mood ahead of the all-important US payrolls report and higher oil prices have halted the pair’s rally.

Investors are wary about placing large US Dollar bets ahead of a particularly relevant US Nonfarm Payrolls report, with the Federal Reserve meeting less than one week away.

The US private sector is expected to have created 113K jobs in October, down from 254K in September. It is worth remembering that the impact of hurricanes and recent strikes might have distorted this month’s figures and that the unemployment rate will also be observed in case of a significant deviation from the forecasts.