- USD / CAD is rising after a two-day dip.
- BoC’s Business Outlook Survey highlights an improved outlook.
- Investors await the auction of US 3- and 10-year Treasuries.
The pair USD / CAD dipped to the 1.2530 zone during European trading hours, but had no difficulty recouping its losses. At time of writing, the pair was up 0.26% on the day at 1.2561. However, the lack of fundamental drivers suggests that the pair is making a technical correction after posting losses on Thursday and Friday.
With an eye toward US banknote auctions
In its Business Outlook Survey for the first quarter, the Bank of Canada (BoC) said business sentiment continued to improve, noting that many companies consider the impact of the coronavirus on their activities to be behind us. However, the optimistic tone of the BoC did not help the CAD gain traction against its rivals.
On the other hand, the US dollar index remains relatively quiet above 92.00 as investors appear to be on the sidelines as they await the 3- and 10-year US Treasury auctions later in the year. session.
Meanwhile, a barrel of West Texas Intermediate (WTI) is up nearly 2% on the day at $ 60.45, possibly helping the commodity-related Canadian dollar limit its losses for now.
No macroeconomic data will be released for the rest of the day and US Treasury yields could affect the market valuation of the dollar.
Technical levels
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