This week might prove to be integral in how USD/CAD ends the year with the BOC meeting on Wednesday, and US CPI data out on Friday.
The US Dollar has shown a lot of strength lately following Chairman Powell’s new hawkish outlook and a growing expectation for tapering to end sooner than initially planned. CAD had struggled last week following the emergence of Omicron, but a strong Canadian economy could provide bulls with the support they need.
The pair currently trades near its September highs, and a move in either direction is well on the cards. Take a look at the following article by one of our senior analysts for a deeper insight: