The USD/CAD currency pair climbed to a 14-month high, reaching 1.4191 during Asian trading hours on Monday, extending gains for the fifth consecutive day, according to FX Street. The pair traded around 1.4190 as investors sought refuge amid geopolitical tensions.
Safe-haven demand for the US dollar was bolstered by renewed concerns over the US-Iran peace deal, providing support to the greenback. Additionally, lower oil prices weighed on the Canadian dollar, contributing to the USD/CAD rally.
For Japanese investors, monitoring USD/CAD movements is crucial due to the pair’s sensitivity to geopolitical developments and commodity prices, which can influence broader FX and equity market dynamics in the region.