USD/CAD Stays Near Yearly Low, Looks Weak Around 1.3670–1.3665
The USD/CAD pair is trading close to its lowest level of the year, staying around the 1.3670–1.3665 range. This weakness is mainly because the US dollar is under pressure. Traders believe the Federal Reserve might cut interest rates later this year. Some Fed officials also gave comments that support this idea. As a result, US Treasury yields have gone down, and this is making the US dollar weaker.
At the same time, the Canadian dollar is staying strong. One reason is the stable oil prices. Since Canada is a major oil exporter, strong or steady oil prices usually help the Canadian dollar.
Looking at the technical side, USD/CAD is finding it hard to stay above key support levels. If the price drops below 1.3665, it could fall further toward 1.3619 or even 1.3586. But if the pair goes above 1.3690, it might try to move up toward 1.3765 or 1.3800.
Impact: If the US dollar keeps falling and oil prices stay stable, USD/CAD could remain weak. But future economic data from the US and Canada may change the trend