USD/CAD

Scotiabank strategists Shaun Osborne and Eric Theoret note USD/CAD around 1.4227 with the Canadian Dollar (CAD) flat versus the US Dollar (USD) but outperforming most G10 peers. CAD retains much of Tuesday’s 0.4% gain, helped by a stronger August trade balance.

USD/CAD rebounds sharply on Wednesday, rising nearly 0.45% as the US Dollar (USD) remains firmly bid across the board, supported by surging US Treasury yields. Attention now turns to the minutes of the Federal Reserve’s (Fed) September monetary policy meeting, due at 18:00 GMT.

The USD/CAD pair gathers strength to around 1.4220 during the early European trading hours on Wednesday. All eyes will be on the Minutes of the Federal Open Market Committee (FOMC) later in the day for signals on a potential rate hike.

The USD/CAD pair edges higher during the Asian session on Wednesday, stalling the previous day's retracement slide from the vicinity of its highest level since April 2025, touched at the start of this week.

Scotiabank strategists Shaun Osborne and Eric Theoret report that the Canadian Dollar (CAD) is trading flat against the US Dollar, with markets showing little reaction to Quebec’s provincial election.

Royal Bank of Canada’s (RBC) Nathan Janzen notes Canada’s trade balance swung to a $4.2 billion surplus in August, helped by higher energy prices and a rush of exports to the United States (US) ahead of new tariffs.