USD/CAD Slides as Fed Holds Rates Steady

The Canadian Dollar saw its value drop following the Federal Reserve's decision to hold interest rates steady. The USD/CAD rate slid to a session low of just above 1.4050, down from an earlier high at 1.4100.

The Fed's 9-3 vote was not unexpected, as markets had already priced in a December Bank of Canada hike since mid-July. However, the three dissenting votes give Chair Powell some wiggle room to suggest that another rate increase might be on the horizon, perhaps in September.