Euro Rises Against CAD Ahead of ECB Interest Rate Hike

The Euro has gained ground against the Canadian Dollar due to hawkish sentiment from the European Central Bank (ECB), which is expected to raise interest rates at its September policy meeting on Thursday.

This move comes as energy prices surge due to the ongoing US-Iran conflict, with oil prices climbing following a US strike on several Iranian tankers near Kharg Island, a major export hub.

ING's global head of macro Carsten Brzeski has predicted that the ECB will hike rates by 25 basis points, calling it 'a dovish rate hike.'