The loonie was trading 0.2% lower at 1.3455 to the greenback, or 74.32 U.S. cents, after trading in a range of 1.3421 to 1.3520. For the week, it was on track to decline 0.6%.
Canada added 10,100 jobs in November, broadly in line with the forecast gain of 5,000, while the jobless rate fell to 5.1%, Statistics Canada said.
Money markets expect the Bank of Canada to raise interest rates by 25 basis points next Wednesday, with a roughly 15% chance of a larger move.
That's not much different than before the data but the terminal rate, or the endpoint for rate hikes, seen over the coming months climbed to 4.36% from 4.22% after stronger-than-expected U.S. jobs data that could complicate the Federal Reserve's intention to start slowing the pace of tightening this month.
The U.S. dollar rallied against a basket of major currencies and equity markets globally fell.
The price of oil, one of Canada's major exports, rose ahead of a meeting of the Organization of the Petroleum Exporting Countries and its allies (OPEC+) on Sunday and an EU ban from Monday on Russian crude. U.S. crude prices were up 0.4% at $81.51 a barrel.
Canadian government bond yields climbed across the curve, tracking the move in U.S. Treasuries. The 10-year was up 5.5 basis points to 2.889%.
(Reporting by Fergal Smith; Editing by Andrea Ricci)
