Canadian Dollar Surges on Oil Price Boost Ahead of BoC Decision

The Canadian dollar has staged a recovery from its two-week low against the US dollar, buoyed by rising crude oil prices and pre-decision positioning ahead of the Bank of Canada's upcoming interest rate decision.

Rising West Texas Intermediate (WTI) crude futures have provided a direct lift to the loonie, with prices up roughly 2% from last week's lows on supply concerns and improving demand forecasts.

The central bank is widely expected to hold its key interest rate steady at 5.0%, but any hint of future easing or tightening could trigger significant moves in the currency.