CAD Market Update
09 Jul 2026 • 00:28 GMT
The Canadian dollar has risen to 14-day highs near 0.7058 against the US dollar, but it remains slightly below its three-month average of 0.7206. This modest strengthening is partly due to the dollar’s recent weakness following softer U.S. jobs data, which has impacted expectations for further Federal Reserve rate hikes.
However, the CAD’s gains are limited by subdued commodity prices and ongoing trade uncertainties, including the unresolved USMCA trade talks. The currency continues to trade within a stable range, showing little sign of significant short-term movement.
Looking ahead, fluctuations in oil prices and developments in US-Mexico trade relations could influence the CAD’s trajectory. With market sentiment leaning towards cautious optimism, the loonie remains supported but cautious amid global economic uncertainties.
In perspective, traders should watch for any shifts in commodity markets or U.S. policy signals, as these could tip the balance and lead to renewed movement in the Canadian dollar.
📊 Quick forecast view
🔴 Mild downside
0.7230 – 1.3400
⚖️ Interest-rate differentials
⚪ Range-bound
