USD/CAD Retraces On Hopes of Alleviation of Ongoing Civil Unrest
Login

USD/CAD Retraces On Hopes of Alleviation of Ongoing Civil Unrest

Estimated Reading Time: 2 minutes
Article Rating:
Based on 1 vote
Login to rate this article.

Azeez Mustapha

Updated:


The USD/CAD pair has retraced from its one-week high recorded yesterday as we head into the London session on Tuesday.

The recent pullback in oil prices, Canada’s key export item, appears to be behind the recent surge in the Loonie pair. At press time, the WTI crude oil trades down by -1.02% at $93.74 per barrel after retracing from a seven-month high on overbought conditions.

Another factor that bolstered the recent price action of the USD/CAD pair is the steady recovery recorded in the dollar index (DXY) due to the risk-off mood triggered by the ongoing Russia-Ukraine tensions. Recent reports of satellite images showing significant pre-war preparations around the Russia-Ukraine border have weighed heavily on market sentiment, which in turn, favored the greenback.

Meanwhile, hopes of bringing the ongoing truckers’ protests under control have frustrated USD/CAD bears from perpetuating a bearish sentiment. Providing updates on the ongoing crisis, Reuters recently reported: “Canadian Prime Minister Justin Trudeau on Monday activated rarely used emergency powers in an effort to end protests that have shut some US border crossings and paralyzed parts of the capital.”

USD/CAD Investors to Focus on Macroeconomic Developments Around the Globe

In other news, the US Treasury yields currently trade in intraday losses near 1.98%, down by 1.5 basis points, while the S&P 500 Futures remained unchanged. Yesterday, the bond coupons gained a mild bullish sentiment after retracing from a two and a half year high on Friday, as the Wall Street benchmark saw a sea of red, despite a solid start to the week.

Moving on, market participants will have their eyes on the US Producer Price Index (PPI) for the January data report later today. Nonetheless, investors must remain in tune with headlines from developments around the Russia-Ukraine tensions, comments from US Fed members, and Canadian political developments for clues.

 

You can purchase crypto coins here: Buy Tokens

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$250 Min Deposit
9.8
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$50 Min Deposit
9
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
9

Learn to Trade

Never Miss A Trade Again

step 1
Signal Notification

Real-time signal notifications whenever a signal is opened, closes or Updated

step 2
Get Alerts

Immediate alerts to your email and mobile phone.

step 3
Entry Price Levels

Entry price level for every signal Just choose one of our Top Brokers in the list above to get all this free.

Share with other traders!

telegram
Telegram
forex
Forex
crypto
Crypto
algo
Algo
news
News