- USD / CAD falls to a new multi-year low on Monday.
- WTI rises towards the $ 60 area after three consecutive days of declines.
- The DXY US Dollar Index struggles to gain traction ahead of mid-level data.
The pair USD / CAD has fallen to its lowest level since April 2018 at 1.2579 at the start of the Asian session on Monday, but has experienced a rebound during the European session. At time of writing, the pair is up 0.05% on the day at 1.2628.
the rise of Crude prices have helped the Canadian dollar, currency linked to the prices of raw materials, to gain strength at the beginning of the week. The West Texas Intermediate WTI barrel closed in negative territory on Thursday and Friday and lost more than 4% during that period.
However, a greater optimism for a strong recovery in energy demand continues to provide a boost to crude oil prices, with the WTI trading just below $ 60 at time of writing, rising 1.5% and allowing the CAD to remain resilient against its rivals.
The DXY index remains on the defensive
On the other hand, the dollar is having a hard time attracting investors despite the poor performance of US stock index futures. At the moment, S&P 500 futures are down 0.7% on the day and the US Dollar DXY index is losing 0.15% at 90.23. A sharp drop in major Wall Street indices on Monday could support the USD in the second half of the day and lift the USD / CAD.
The Federal Reserve Bank of Chicago will release its National Activity Index for January later in the session. The Federal Reserve Bank of Dallas’ Manufacturing Index will also be included in the US economic calendar.
USD / CAD technical levels
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