Forex
USD/CAD Exchange Rate Edges Higher Amid US Restrictions
The USD/CAD exchange rate has seen an increase of 0.12% to 1.3795, following two consecutive daily declines. This comes after traders assessed fresh US restrictions on Canadian goods.
Scotiabank's foreign exchange strategists expect the broader decline to resume, with improving Canadian Dollar fundamentals supporting their bearish view of the pair. They see support near 1.3720 ahead of a possible retreat towards 1.3500-1.3550.
The bank's estimated fair value for USD/CAD has edged down to 1.3736, below the current market rate. This suggests that underlying Canadian Dollar drivers are improving.