Canadian Dollar Gains On Thursday’s Crude Oil Climb
Photo by Michelle Spollen on Unsplash
The Canadian Dollar (CAD) found some bidders on Thursday even as the US Dollar Index (DXY) saw a recovery after US Gross Domestic Product (GDP) figures bolstered the broader market.
Canada wrapped up its presence on the economic calendar’s data docket this week after Wednesday’s rate statement from the Bank of Canada (BoC). Canadian Dollar traders will be waiting until Canadian GDP figures are due next Wednesday, while Canadian Purchasing Managers Index (PMI) figures are slated for next Thursday.
Daily digest market movers: Canadian Dollar rebounds despite Greenback jump on GDP beat
- US data dominated the American market session on Thursday.
- US Q4 GDP grew by 3.3% YoY, beating the forecast of 2.0% compared to the previous quarter’s 4.9%.
- US Q4 Core Personal Consumption Expenditures (PCE) held steady at 2.0%.
- US Initial Jobless Claims jumped to 214K for the week ended January 19, up from the forecast of 200K and climbed from the previous week’s 189K (revised slightly up from 187K).
- Despite a rebound on Thursday, the Canadian Dollar remains down across the board for the trading week.
- Crude Oil extends recent gains, bolsters Canadian Dollar.
- West Texas Intermediate (WTI) tested above $76.00 for the first time in 2024.
- The Bank of Canada (BoC) confirmed that the top is in for rate hikes on Wednesday but remains mum on when rate cuts could be coming.
Canadian Dollar price today
The table below shows the percentage change of the Canadian Dollar (CAD) against listed major currencies today. Canadian Dollar was the strongest against the Swiss Franc.
| USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
| USD | 0.39% | 0.13% | -0.19% | -0.14% | -0.03% | -0.18% | 0.48% | |
| EUR | -0.40% | -0.25% | -0.59% | -0.54% | -0.42% | -0.59% | 0.10% | |
| GBP | -0.13% | 0.26% | -0.33% | -0.27% | -0.16% | -0.32% | 0.36% | |
| CAD | 0.19% | 0.59% | 0.33% | 0.04% | 0.17% | 0.00% | 0.68% | |
| AUD | 0.15% | 0.53% | 0.27% | -0.05% | 0.13% | -0.04% | 0.62% | |
| JPY | 0.03% | 0.42% | 0.16% | -0.16% | -0.12% | -0.16% | 0.51% | |
| NZD | 0.21% | 0.57% | 0.32% | -0.01% | 0.04% | 0.16% | 0.65% | |
| CHF | -0.50% | -0.11% | -0.35% | -0.68% | -0.61% | -0.51% | -0.68% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent EUR (base)/JPY (quote).
Technical Analysis: The Canadian Dollar finds some space against the Greenback but remains down overall
The Canadian Dollar (CAD) is broadly higher on Thursday, finding some room in the green on the back of rising Crude Oil markets. The CAD is up around three-quarters of a percent against the Swiss Franc (CHF), the market’s single worst-performing currency on Thursday. The Loonie gains two-thirds of a percent against the Euro (EUR) and a third of a percent against the Pound Sterling (GBP).
The Canadian Dollar kicked off Thursday’s trading session by testing 1.3530 against the US Dollar (USD) before catching a ride and sending the USD/CAD back into the 1.3500 handle.
The USD/CAD is getting dragged into a technical congestion pattern on the daily candles as the 50-day and 200-day Simple Moving Averages (SMA) consolidate near 1.3500.
The pair is still up around 2.5% from December’s low of 1.3177, but it will take significant bidding pressure to force the pair into the high side of the bearish crossover of the 50-day and 200-day SMAs.
USD/CAD Hourly Charts
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USD/CAD Daily Charts
(Click on image to enlarge)
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