Investing.com - The U.S. dollar fell against its Canadian counterpart on Friday, as investors eyed the release of U.S. new home sales data later in the trading session and as upbeat corporate earnings reports lifted market sentiment for the second consecutive day.
USD/CAD hit 1.1195 during U.S. morning trade, the pair's lowest since October 22; the pair subsequently consolidated at 1.1201, shedding 0.28%.
The pair was likely to find support at 1.1168, the low of October 13 and resistance at 1.1264, Thursday's high.
Market sentiment improved as upbeat corporate earnings reports sent Wall Street higher on Thursday and soothed investor jitters over slowing global economic growth.
But investors still remained cautious however, after The New York Times reported earlier Friday that a doctor in New York City, identified as Craig Spencer, tested positive for the Ebola virus after returning from treating patients in West Africa.
Meanwhile, the greenback remained mildly supported after a report on Thursday showed that U.S. initial jobless claims rose last week, but the underlying trend indicated improving labor market conditions.
The Department of Labor said the number of Americans filing for initial jobless benefits in the week ending October 18 increased by 17,000 to 283,000, broadly in line with forecasts.
However, the four-week average fell to 281,000, the lowest since May 2000, while continuing claims, which counts people receiving benefit for at least the second month in a row, also hit a 14-year low, of 2.35 million.
The loonie was fractionally higher against the euro, with EUR/CAD edging down 0.08% to 1.4195.
Also Friday, data showed that the Gfk German consumer climate index rose to 8.5 in October from 8.4 in September, whose figure was revised up from a previously estimated reading of 8.3.
Analysts had expected the index to fall to 8.0 this month.