Skip to content
Back to Guavy Wire
Forex

Fed Hike Sinks Loonie to Six-Week Low

Instruments
USD CAD
Share

The US Federal Reserve (Fed) raised its interest rate to 3.75-4.00%, marking its first increase since 2023 and its first move since the cut in December 2025.

This decision widened the gap between the US and Canadian interest rates, with the Bank of Canada's overnight rate remaining at 2.25% through seven consecutive meetings.

The increased interest rate gap led to a decline in the value of the Loonie, sending it to a six-week low.

More on Forex

Disclaimer: Guavy is a data and market intelligence provider, not an investment adviser. The information, signals, and market analysis provided by the Guavy API and related services are for informational purposes only and are not intended as financial advice, investment recommendations, or an endorsement of any particular trading strategy. Trading in volatile markets, including cryptocurrency, carries significant risk and may not be suitable for all investors. Past performance is not indicative of future results. Users should consult with a qualified financial professional before making any investment decisions. Guavy makes no guarantee of trading profits or financial returns.

Market sentiment intelligence for apps, funds & agents

Location

729 55 Ave SW
Calgary AB T2V 0G4
Canada

© 2026 Guavy Inc