Canadian Dollar Loses Ground as Crude Oil Slumps

The Canadian dollar was steady by the end of the previous trading session but lost its ground during the current session, falling along with crude oil prices. The currency dropped about 1% against the US dollar and the euro. It also declined for the third straight session versus the Japanese yen.
The Canadian dollar often moves in tandem with oil prices, and it was not different this week. Yesterday’s rally of crude was supporting the loonie, but today the commodity has dropped, dragging the currency along. Analysts are mostly bearish on oil as the threat of oversupply hangs over the commodity.
Another problem for the Canadian dollar was the rally of its US counterpart. Talks about the imminent interest rate hike from the Federal Reserve were weighing on rivals of the greenback.
USD/CAD rallied from 1.3038 to 1.3174 as of 16:45 GMT today. EUR/CAD advanced from 1.4647 to 1.4796. CAD/JPY declined from 78.08 to 77.58.

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