fbpx Skip to main content
Daily Updates

Canadian Dollar Jumps to a Two-Week High Against the US Dollar

By May 5, 2023March 12th, 2024No Comments

The Canadian dollar continued to edge higher overnight and into today, hitting a two-week high against the US dollar. The Canadian dollar gained momentum after stronger-than-expected employment data and stabilizing oil prices, which had fallen by more than 15% over the last three weeks.

The bigger picture here is that the US dollar strength is seen to have peaked as a result of the FED rate hike campaign coming to an end, and the interest rate differential pendulum has now swung back in favor of the Canadian dollar. According to a BMO report, markets are betting that the FED will cut rates multiple times, potentially three 25bps cuts, while the Bank of Canada is only seen as cutting rates once by the end of this year.

If, and these are big “ifs,” oil prices have bottomed out, and the worst of the US regional banking sector woes are behind us, the Canadian dollar may be positioned to strengthen significantly. US dollar sellers that have a limited time horizon should consider converting some of their holdings at 1.3450 (USD/CAD or 0.74349) or higher.

The Canadian Dollar is currently trading at 1.3405 against the US dollar.



Are you looking for a better exchange rate?

Get the best exchange rate

Receive daily updates on Canadian dollar

Account to Account Service at Interchange Currency Exchange

Account to Account

If you have US dollar bank account in Canada and are looking to convert in your bank account at better rates than offered by your bank, then this service is for you.

Cash transactions at Interchange Currency Exchange

Cash

We have exchange rates that are much better than the banks and we charge no fees.

Money Transfer services at Interchange Financial

Money Transfer

If you are transferring money internationally or receiving money from overseas, we can help you save money as well because of our better exchange rates.