US Dollar Gains Momentum as North American Central Banks Diverge

The outlook for USD/CAD and USD/MXN is shifting as expectations of a more aggressive monetary policy stance in the US gain momentum.

This shift, combined with potential trade tensions across North America, may become one of the most important drivers of currency performance in the months ahead.

As of now, Mexico's Banco de México maintains the highest interest rate in the region at 6.5%, while the Bank of Canada has kept its policy rate unchanged at 2.25% since October 2025.

In contrast, the Federal Reserve has resumed raising interest rates, moving the benchmark rate from 3.75% to 4.00%. This more aggressive stance could continue to support the U.S. dollar against its regional counterparts.