Forecasts for the Canadian dollar change all the time, affected by news events and relative sentiment towards the Canadian economy. This continually updated article reviews CAD bank forecasts and popular cross-rate trends.
CAD in the markets
The threat of proxy war between the US and Iran in Iraq has pared back some of the gains the Loonie had made coming into the New Year.
The Canadian dollar was range bound during the second half of 2019 oscillating between US75c and US76.5c. Mid-year the loonie stormed ahead in June and July, rising to what turned out to be the 2019 high against the US dollar of US76.7cents and to 8-month highs against the euro, pound, Australian and New Zealand dollars. Against the Aussie, a minimal additional increase would take CAD to a 9-year high.
Supporting the loonie was a 10 percent rise in the oil price (oil is among Canada’s most exported products but is volatile and can’t be relied upon), a large and welcome jump in inflation, and dovishness at major central banks of the world, including the Federal Reserve, ECB and RBA.
The USMCA was signed by the United States, Mexico and Canadian on November 30 at the G20 Summit in Buenos Aires. Any delay to Canadian ratification of the USMCA trade deal would have likely depressed sentiment on Canada’s currency.
For more details read the full article Canadian dollar news and forecasts.
CAD cross-rate trends & forecasts
CAD to USD
The Canadian economy is in “way better shape” than the Bank of Canada currently believes, analysts at Scotiabank said in May before labelling the loonie a “seriously” undervalued currency.
Experts at Citibank said in June that USD/CAD would likely fall to 1.30 within 6-12 months, from mid-month rates near 1.315, but they cited escalating global trade tensions as a major risk to this forecast.
CIBC is predicting USD/CAD at 1.36 at the end of 2019 but sees CAD weakness towards 1.40 sometime in 2020 (1.40 hasn’t been seen since early 2016).
|1 Day||-0.2%||0.7665||20 Jan 2020|
|7 Day||-0.1%||0.7652||14 Jan 2020|
|30 Day||+0.5%||0.7607||22 Dec 2019|
|3 Month||0%||0.7648||23 Oct 2019|
|1 Year||+1.7%||0.7520||21 Jan 2019|
|5 Year||-5.6%||0.8101||22 Jan 2015|
|10 Year||-19.3%||0.9472||23 Jan 2010|
*For period to 21-Jan 21UTC when CAD/USD was 0.7646
CAD to GBP
|1 Day||-0.5%||0.5895||20 Jan 2020|
|7 Day||-0.2%||0.5877||14 Jan 2020|
|30 Day||+0.2%||0.5849||22 Dec 2019|
|3 Month||-0.9%||0.5919||23 Oct 2019|
|1 Year||+0.5%||0.5834||21 Jan 2019|
|5 Year||+8.6%||0.5399||22 Jan 2015|
|10 Year||-0.2%||0.5874||23 Jan 2010|
*For period to 21-Jan 21UTC when CAD/GBP was 0.5863
CAD to EUR
|1 Day||-0.2%||0.6908||20 Jan 2020|
|7 Day||+0.3%||0.6877||14 Jan 2020|
|30 Day||+0.5%||0.6865||22 Dec 2019|
|3 Month||+0.4%||0.6870||23 Oct 2019|
|1 Year||+4.3%||0.6615||21 Jan 2019|
|5 Year||-3.3%||0.7131||22 Jan 2015|
|10 Year||+2.9%||0.6702||23 Jan 2010|
*For period to 21-Jan 21UTC when CAD/EUR was 0.6897
CAD to INR
|7 Day||+0.5%||54.2205||14 Jan 2020|
|30 Day||+0.7%||54.0865||22 Dec 2019|
|3 Month||+0.7%||54.0897||23 Oct 2019|
|1 Year||+1.7%||53.5379||21 Jan 2019|
|5 Year||+9.2%||49.8941||22 Jan 2015|
|10 Year||+24.3%||43.8269||23 Jan 2010|
*For period to 21-Jan 21UTC when CAD/INR was 54.4745
You can also read our full Foreign Exchange Guide to Canada.
The threat of a proxy war between the US and Iran in Iraq has pared back some of the recent gains of “risk-on” currencies.
Last update: 8 Jan, 2020
Lifted by oil, economic data and the Fed, the Canadian dollar has soared against the US dollar to a 16-week high and has reached even more impressive milestones against the pound, euro and Australian dollar.
Last update: 20 Jun, 2019
The Australian dollar is at or near multi-month lows against a number of major currencies in spite of a rampant iron ore market — once a great influence on AUD.
Last update: 15 Jun, 2019
The Canadian dollar might be worth considerably more towards the end of this year based on research by Scotiabank analysts who describe the currency as being “egregiously” undervalued.
Last update: 13 May, 2019