Canadian dollar CAD forecasts for 2020

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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.

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Canadian dollar forecast

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



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).

CAD/USD – 6 month chart
1 Day-0.2%0.766520 Jan 2020
7 Day-0.1%0.765214 Jan 2020
30 Day+0.5%0.760722 Dec 2019
3 Month0%0.764823 Oct 2019
1 Year+1.7%0.752021 Jan 2019
5 Year-5.6%0.810122 Jan 2015
10 Year-19.3%0.947223 Jan 2010

*For period to 21-Jan 21UTC when CAD/USD was 0.7646


CAD/GBP – 6 month chart
1 Day-0.5%0.589520 Jan 2020
7 Day-0.2%0.587714 Jan 2020
30 Day+0.2%0.584922 Dec 2019
3 Month-0.9%0.591923 Oct 2019
1 Year+0.5%0.583421 Jan 2019
5 Year+8.6%0.539922 Jan 2015
10 Year-0.2%0.587423 Jan 2010

*For period to 21-Jan 21UTC when CAD/GBP was 0.5863


CAD/EUR – 6 month chart
1 Day-0.2%0.690820 Jan 2020
7 Day+0.3%0.687714 Jan 2020
30 Day+0.5%0.686522 Dec 2019
3 Month+0.4%0.687023 Oct 2019
1 Year+4.3%0.661521 Jan 2019
5 Year-3.3%0.713122 Jan 2015
10 Year+2.9%0.670223 Jan 2010

*For period to 21-Jan 21UTC when CAD/EUR was 0.6897


CAD/INR – 6 month chart
7 Day+0.5%54.220514 Jan 2020
30 Day+0.7%54.086522 Dec 2019
3 Month+0.7%54.089723 Oct 2019
1 Year+1.7%53.537921 Jan 2019
5 Year+9.2%49.894122 Jan 2015
10 Year+24.3%43.826923 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.

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