Canadian Dollar Strengthens as Oil Rebounds and Fed Rate Hike Bets Fade
The Canadian dollar gained versus the US dollar on Thursday, supported by rebounding oil prices and diminished expectations for aggressive Federal Reserve tightening.
USDCAD
The USD/CAD pair remained under pressure during Asian trading, with sellers targeting a move below the 1.4000 psychological level. This follows a pullback in the previous session from a one-week high.
A recovery in crude oil prices lent support to the commodity-linked loonie, while fading bets on further large Fed rate hikes weighed on the greenback.
Market participants now await a clear break of the 1.4000 mark to confirm a bearish extension for the pair.
Source: FXStreet Forex News