Canadian Dollar Gains on Fed Outlook, Oil Caps Upside
USD/CAD slipped to 1.4180 as the US dollar weakened after US inflation data, though rising oil prices limited further gains for the Canadian dollar.
The Canadian dollar strengthened against the US dollar on Friday, with USD/CAD trading around 1.4180, down 0.13% at the time of writing. The move lower was driven by a softer US dollar after the latest US inflation report reinforced expectations of a less aggressive Federal Reserve.
However, gains in the loonie were capped by rising oil prices. Crude's advance provided some support to the commodity-linked Canadian dollar but also kept traders cautious about extending the currency's rally.
No additional data or commentary was provided in the original report. The pair remains sensitive to shifts in Fed policy expectations and energy market dynamics.
Source: FXStreet Forex News