CAD Market Update
Updated 25 Jul 2026 • 23:45 GMT
The Canadian Dollar (CAD) has been influenced by softer than expected inflation data, which decreased hopes for further interest rate hikes by the Bank of Canada. June's Consumer Price Index (CPI) slowed to an annual rate of 2.8%, leading to a rise in the USD/CAD pair, moving closer to 1.4060. While there is some support from higher oil prices, continued U.S. Dollar strength amid geopolitical tensions has applied additional pressure on the loonie. According to commentary from Commerzbank, the downtrend in USD/CAD is expected to persist unless there is sustained weakness in the U.S. Dollar.
Key watchpoints:
- Monitor the Bank of Canada's policy signals following recent CPI data.
- Track U.S. Dollar movements, particularly in the context of geopolitical developments, impacting USD/CAD.
- Observe global oil prices as they provide baseline support for the Canadian Dollar.
SEK Market Update
Updated 14 Jul 2026 • 23:49 GMT
The Swedish krona (SEK) has faced a complex landscape over the past week, with expectations of a dovish shift in US Federal Reserve policy potentially providing some relief against recent pressures. The krona may benefit from a softer dollar environment, although market participants have expressed concerns about the possibility of a Riksbank rate hike if the SEK weakens further. Divergent policies between Norway and Sweden have also amplified pressure on the krona, with Norway's energy advantages strengthening NOK over SEK.
Key watchpoints:
- Monitor potential Riksbank reactions and rate hikes if SEK depreciates significantly against EUR (around 11.10–11.15).
- Observe US Fed policies, as dovish shifts and a softer USD could improve SEK’s standing.
- Track economic recovery trends in Sweden and their impacts on SEK strength, especially into year-end.