The mounting pressure on the Canadian dollar ahead of "Liberation Day" has sharply eased following the ISM data indicating a slowdown in the U.S. industrial sector (USDCAD: -0.5%).
According to the latest ISM report, the U.S. industrial expansion of the past two months has stalled. Various sectors are reporting a significant decline in orders from Canada, while price pressures are weighing on weakening demand and reduced production.
Start investing today or test a free demo
Open real account TRY DEMO Download mobile app Download mobile appThe Canadian dollar is also being supported by recent remarks from Mark Carney. The Prime Minister of Canada emphasized in Winnipeg his readiness to retaliate against new U.S. tariffs and pledged to make every effort to keep the Canadian automotive sector competitive with the U.S.
USDCAD has just given up on all recent gains, heading towards key suppor around 1.428. CAD's appreciation may be a sign that trade war risk has been already priced in by the investors. Source: xStation5
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.
