- USD / CAD has broken below 1.2800 during the European session.
- Crude oil prices are rising on hopes of a recovery in demand.
- The DXY US Dollar Index consolidates Wednesday’s gains around the 91.00 level.
The pair USD / CAD it experienced a modest rebound during the first half of the week and rose to 1.2835 on Wednesday. But nevertheless, With crude prices gaining ground, the Canadian dollar, currency linked to the prices of raw materials, strength has begun to strengthen against rivals and it has caused the USD / CAD to turn lower. At the time of writing, the pair is down 0.30% on the day, trading at 1.2782.
WTI trades above the $ 46 level on Thursday
Backed by older ones hopes for a steady recovery in oil demand Following positive developments in the coronavirus vaccine, the West Texas Intermediate WTI barrel gained bullish momentum on Thursday. At the moment, WTI is up more than 1% at $ 46.18.
On the other hand, the US dollar is having a hard time taking advantage of Wednesday’s gainsAs investors appear to be on the sidelines ahead of the release of US macro data. The US Dollar Index, which closed the previous two days in negative territory, is virtually unchanged on the day at 91.10.
Later in the day, the US Department of Labor will release its weekly data on initial jobless claims. More importantly, the US Bureau of Labor Statistics will release the CPI consumer price index figures for November.
In the meantime, The Bank of Canada (BoC) announced on Wednesday that it leaves its monetary policy rate unchanged at 0.25% as expected. In its accompanying statement, the BoC reiterated that rates are not expected to rise until 2023, but failed to trigger a significant market reaction.
USD / CAD technical levels
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