The USD/CAD currency pair traded around 1.4200 during Asian hours on Wednesday, approaching levels not seen in two months. This marks the eighth consecutive day of gains for the US dollar against the Canadian dollar, according to FX Street.
The Canadian dollar’s recent weakness is largely attributed to falling crude oil prices, which continue to pressure the currency. As Canada is a major oil exporter, declines in crude prices tend to weigh on the loonie, FX Street reported.
For Japanese investors, these movements underscore the influence of global commodity prices on FX markets, highlighting the importance of monitoring energy trends when assessing USD/CAD and related exposures in equities and crypto.