Canadian dollar is mostly in a holding pattern right now, keeping steady against most of its major counterparts. Even with oil prices getting a little bump today, the loonie is still mostly steady.
Right now, the loonie is very connected to the US dollar and the performance related to what’s expected from the Federal Reserve. Policy divergence is doing a great deal to drive the Canadian’s dollar performance, and many Forex traders are waiting for the latest Fed minutes to get a hint of when rates will start rising in the United States.
For the most part, the loonie is rangebound against other currencies as well. Disappointing news out of the United Kingdom means that the Canadian dollar is higher against the pound, and recovery for the euro means the loonie is down against the 19-nation currency.
Oil prices aren’t having a big impact on the loonie today, even though oil usually moves the Canadian dollar more because of its position as Canada’s major export. However, if oil prices move back above $50 a barrel, it might provide some help to the loonie.
At 15:47 GMT USD/CAD is up to 1.3062 from the open at 1.3058. EUR/CAD is up to 1.4687 from the open at 1.4674. GBP/CAD is down to 1.9944 from the open at 2.0003.
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