CAD steady versus USD – Scotiabank

FXStreet Insights Team FXStreet

The Canadian Dollar (CAD) is little changed over the weekend vs the US Dollar (USD). It remains to be seen what Mark Carney’s win in the Liberal leadership election means for Canada and markets. The formal handover from Trudeau will take place in the next few days and Carney might then decide call an election, Scotiabank's Chief FX Strategist Shaun Osborne notes.

Technical signals remain somewhat mixed

"Or he could try and hold out to see if polls continue to shift in his favour. Meanwhile, President Trump will stick with tariffs on steel and aluminum, due Wednesday, Commerce Sec. Lutnick said at the weekend, as questions remain around the chaotic roll out of tariff action from the White House recently."

"The CAD may be able to stabilize in the short run. With 25% borders tariffs delayed until April at least, the USD is overvalued relative to the tariff regime that we have. Scope for CAD gains is not all that great; spreads have narrowed but remain significantly in the USD’s favour ahead of Wednesday’s BoC decision (when another 1/4-point trim to the overnight rate is likely)."

"A generally weaker USD undertone should help put a floor under the CAD for now. Technical signals remain somewhat mixed. Trend momentum continues to favour the USD but there is resistance to USD gains between1.4475/1.4525 while support for the USD remains 1.4250 and 1.4150."

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD: US Dollar to remain pressured until uncertainty fog dissipates

Unimpressive European Central Bank left monetary policy unchanged for the fifth consecutive meeting. The United States first-tier employment and inflation data is scheduled for the second week of February. EUR/USD battles to remain afloat above 1.1800, sellers moving to the sidelines.

GBP/USD softens to near 1.3600 as BoE hints further rate cuts

The GBP/USD pair loses ground to near 1.3610 during the early Asian session on Monday. The Pound Sterling softens against the Greenback amid growing expectations of the Bank of England’s interest-rate cut. Traders will take more cues from the Fedspeak later on Monday.

Gold eyes acceptance above $5,000, kicking off a big week

Gold is consolidating the latest uptick at around the $5,000 mark, with buyers gathering pace for a sustained uptrend as a critical week kicks off. All eyes remain on the delayed Nonfarm Payrolls and Consumer Price Index data from the United States due on Wednesday and Friday, respectively.

Top Crypto Gainers: Aster, Decred, and Kaspa rise as selling pressure wanes

Altcoins such as Aster, Decred, and Kaspa are leading the broader cryptocurrency market recovery over the last 24 hours, as Bitcoin holds above $70,000 on Monday, up from the $60,000 dip on Thursday.

Weekly column: Saturn-Neptune and the end of the Dollar’s 15-year bull cycle

Tariffs are not only inflationary for a nation but also risk undermining the trust and credibility that go hand in hand with the responsibility of being the leading nation in the free world and controlling the world’s reserve currency.

Bitcoin, Ethereum and Ripple consolidate after massive sell-off

Bitcoin, Ethereum, and Ripple prices consolidated on Monday after correcting by nearly 9%, 8%, and 10% in the previous week, respectively. BTC is hovering around $70,000, while ETH and XRP are facing rejection at key levels. Traders should be cautious: despite recent stabilization, upside recovery for these top three cryptocurrencies is capped as the broader trend remains bearish.