The USD/CAD is stabilized around 1,3850 while the US dollar looks for a firm support

  • The USD/CAD is consolidated around 1,3850 while investors seek to recover land after having been defensive in the last two weeks.
  • The prospects of the US dollar remain uncertain due to Trump’s attacks on the independence of the Fed.
  • Trump has criticized the president of the FED, Jerome Powell, for not reducing interest rates.

The USD/CAD torque quotes around 1,3850 during negotiation hours in North America on Tuesday. The Loonie Par is lateralized after registering a new minimum of six months about 1,3800 while the US dollar (USD) looks for a support after having had a downward stream in the last two weeks.

The US dollar index (DXY), which measures the value of the dollar against six main currencies, attracts some offers after refreshing a minimum of three years in 98.00 and bounces about 98.50 during negotiation hours in North America.

However, investors prepare for more weakness in the US dollar due to the assault on the independence of the Federal Reserve (FED) by the president of the United States (USA), Donald Trump, and the uncertainty about commercial relations between Washington and Beijing. These events have led participants in the financial market to doubt the attractiveness of a safe refuge of the US dollar.

Donald Trump has criticized the president of the Fed, Jerome Powell, for not lowering interest rates and has blamed the economy to slowly get into deceleration if interest rates are not immediately reduced.

Meanwhile, Trump has announced a 90 -day break in the execution of reciprocal tariffs, which were announced on April 2 but maintained on China as retaliation and counteract tariffs. Although the commercial war will continue between the US and China, the stagnation will have a global impact.

On Tuesday, the Canadian dollar (CAD) firmly quote against most of its peers while investors expect the Canada Bank (BOC) to maintain a “neutral” position on monetary policy perspectives. The Bock maintained stable interest rates at 2.75% last week amid the lack of clarity on how Donald Trump’s new international policies shall shape global economic perspectives.

This week, investors will focus on Canada’s retail sales data for February, which will be published on Friday.

Canadian dollar today

The lower table shows the change percentage of the Canadian dollar (CAD) compared to the main currencies today. The Canadian dollar was the strongest currency against the Swiss Franco.

USD EUR GBP JPY CAD Aud NZD CHF
USD 0.24% -0.08% -0.14% -0.02% 0.33% 0.01% 0.42%
EUR -0.24% -0.33% -0.37% -0.30% 0.04% -0.24% 0.17%
GBP 0.08% 0.33% -0.08% 0.02% 0.38% 0.09% 0.49%
JPY 0.14% 0.37% 0.08% 0.11% 0.45% 0.23% 0.61%
CAD 0.02% 0.30% -0.02% -0.11% 0.35% 0.04% 0.43%
Aud -0.33% -0.04% -0.38% -0.45% -0.35% -0.30% 0.11%
NZD -0.01% 0.24% -0.09% -0.23% -0.04% 0.30% 0.42%
CHF -0.42% -0.17% -0.49% -0.61% -0.43% -0.11% -0.42%

The heat map shows the percentage changes of the main currencies. The base currency is selected from the left column, while the contribution currency is selected in the upper row. For example, if you choose the Canadian dollar of the left column and move along the horizontal line to the US dollar, the percentage change shown in the box will represent the CAD (base)/USD (quotation).

Source: Fx Street

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