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 Canadian dollar stormed ahead in the second half of June, rising to a 16-week high against the US dollar 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.
Any delay to Canadian ratification of the USMCA trade deal (already accepted by Mexico) is likely to depress sentiment on Canada’s currency.
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).
|7 Day||-0.6%||0.7602||05 Nov 2019|
|30 Day||-0.3%||0.7574||13 Oct 2019|
|3 Month||+0.6%||0.7512||14 Aug 2019|
|1 Year||+0.1%||0.7550||12 Nov 2018|
|5 Year||-14.1%||0.8799||13 Nov 2014|
|10 Year||-20.5%||0.9503||14 Nov 2009|
*For period to 12-Nov 21UTC when CAD/USD was 0.7555
CAD to GBP
|1 Day||+0.1%||0.5878||11 Nov 2019|
|7 Day||-0.3%||0.5902||05 Nov 2019|
|30 Day||-2%||0.6003||13 Oct 2019|
|3 Month||-5.6%||0.6229||14 Aug 2019|
|1 Year||+0.2%||0.5873||12 Nov 2018|
|5 Year||+5%||0.5602||13 Nov 2014|
|10 Year||+3.2%||0.5698||14 Nov 2009|
*For period to 12-Nov 21UTC when CAD/GBP was 0.5882
CAD to EUR
|1 Day||+0.3%||0.6847||11 Nov 2019|
|7 Day||0%||0.6865||05 Nov 2019|
|30 Day||0%||0.6868||13 Oct 2019|
|3 Month||+1.9%||0.6741||14 Aug 2019|
|1 Year||+2.1%||0.6726||12 Nov 2018|
|5 Year||-2.7%||0.7053||13 Nov 2014|
|10 Year||+7.5%||0.6386||14 Nov 2009|
*For period to 12-Nov 21UTC when CAD/EUR was 0.6866
CAD to INR
|1 Day||+0.4%||54.0772||11 Nov 2019|
|7 Day||+0.9%||53.8020||05 Nov 2019|
|30 Day||+1%||53.7194||13 Oct 2019|
|3 Month||+0.9%||53.8079||14 Aug 2019|
|1 Year||-1.4%||55.0636||12 Nov 2018|
|5 Year||+0.2%||54.1613||13 Nov 2014|
|10 Year||+23.3%||44.0049||14 Nov 2009|
*For period to 12-Nov 21UTC when CAD/INR was 54.2691
You can also read our full Foreign Exchange Guide to Canada.
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
A turbocharged US dollar is likely to be “stronger for longer” after reaching long-term highs against a host of major currencies, including the euro, Swiss franc and Swedish krona.
Last update: 25 Apr, 2019