The CAD to DKK exchange rate is currently bearish, trading at 30-day lows near 4.6162.
Key drivers include an interest rate differential, with the Bank of Canada's policy rate at 2.25% and a recent cut by Danmarks Nationalbank to 1.85%. The CAD is also influenced by oil prices, which are at 14-day lows around $60.37, negatively affecting Canada’s export revenues. Additionally, a robust jobs report in Canada has not been enough to offset concerns about soft manufacturing output.
In the near term, the CAD to DKK may trade within a stable range, generally corresponding to recent levels.
An upside risk could arise if oil prices recover significantly, boosting the CAD. Conversely, a downside risk includes further economic weakness in Canada prompting additional pressure on the CAD. Monitoring these factors will be essential for anyone involved in currency exchange.