Canadian Dollar Pressured by Stronger USD, but Rising Oil Prices Provide a Floor

BitcoinWorld Canadian Dollar Pressured by Stronger USD, but Rising Oil Prices Provide a Floor The Canadian dollar remained under pressure against a broadly stronger US dollar on Wednesday, though a continued rally in crude oil prices helped limit the downside for the commodity-linked currency. The USD/CAD pair traded near session highs, reflecting persistent demand for the greenback amid shifting interest rate expectations and global risk sentiment. What’s Driving the Canadian Dollar Lower? The primary catalyst for the loonie’s weakness is the renewed strength in the US dollar. The US Dollar Index (DXY) climbed to multi-week highs as markets reassessed the Federal Reserve’s monetary policy path. Resilient US economic data, including stronger-than-expected retail sales and labor market figures, have tempered expectations for aggressive rate cuts in 2025. This has pushed US Treasury yie