USD/CAD Rebounds on USD Strength Amid Middle East Tensions, Fed Hike Bets
USD/CAD rose on Thursday as the US dollar gained momentum from rising Middle East tensions and increased Fed rate hike expectations, outweighing stronger Canadian retail sales data and higher oil prices.
The Canadian dollar weakened against the US dollar on Thursday, with USD/CAD rebounding despite stronger-than-expected Canadian retail sales and rising crude oil prices.
The US dollar regained momentum as geopolitical tensions in the Middle East intensified, boosting safe-haven demand. Additionally, growing expectations of further Federal Reserve rate hikes provided support for the greenback.
Traders showed a muted reaction to the Canadian retail sales data, suggesting that the broader macro environment is currently dominating currency movements.
Source: FXStreet Forex News