The Canadian dollar weakened beyond 1.37 per USD, approaching a five-month low of 1.38 per USD registered on April 16th, as diverging monetary policy outlooks between the Bank of Canada and the US Federal Reserve continued to favor the greenback. Consumer spending in Canada remained stagnant at the beginning of the year, with retail sales showing no growth in the first quarter, marking the slowest pace of consumer spending since the second quarter of 2023. The sluggish retail sales further reinforce the argument that the economy is slowing down, potentially prompting the Bank of Canada to consider interest rate cuts at its upcoming policy meeting in June. Meanwhile, the US dollar received support from heightened expectations for interest rates to remain elevated for an extended period, fueled by persistent inflationary pressures and the resilience of the labor market, which countered lackluster growth in the first quarter.
The USDCAD decreased 0.0007 or 0.05% to 1.3652 on Friday April 26 from 1.3659 in the previous trading session. Historically, the Canadian Dollar reached an all time high of 1.62 in January of 2002. Canadian Dollar - data, forecasts, historical chart - was last updated on April 26 of 2024.
The USDCAD decreased 0.0007 or 0.05% to 1.3652 on Friday April 26 from 1.3659 in the previous trading session. The Canadian Dollar is expected to trade at 1.37 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.40 in 12 months time.