USD/CAD loses momentum above 1.3700, eyes on FOMC Meeting Minutes, Canadian CPI

USD/CAD loses traction above the 1.3700 mark on Monday.
Traders believe the Fed is done with the hiking cycle and expect the Fed will begin easing monetary policy in May 2024.
FOMC Meeting Minutes and Canadian CPI will be closely watched events.

Lallalit Srijandorn FXStreet

The USD/CAD pair trades in negative territory for the second consecutive day in the Asian session on Monday. The downtick of the pair is backed by the weaker US Dollar (USD) and the lower US Treasury bond yield. At the time of writing, USD/CAD is holding lower ground near 1.3705, losing 0.07% on the day.

The Federal Reserve (Fed) officials maintained their messages on the monetary policy outlook last week. Boston Federal Reserve (Fed) President Susan Collins said the Fed would bring down inflation without causing significant harm to the labor market while being patient with the next interest rate moves. Meanwhile, Fed President Austan Goolsbee said that inflation is on track to achieve the Fed's target as long as house price pressures decrease. Market players place their bet that the Fed is done with the hiking cycle and expected Fed will begin easing monetary policy in May 2024.

The Bank of Canada (BoC) stated earlier this month that the era of historically low-interest rates was likely coming to an end and cautioned households and businesses to anticipate higher borrowing costs than in recent years. Meanwhile, a rebound in oil prices might lift the commodity-linked Loonie as the country is the leading oil exporter to the US.

Traders will monitor the Federal Open Market Committee (FOMC) Meeting Minutes and the Canadian Consumer Price Index (CPI) for October on Tuesday. The US Durable Goods Orders for October and the Michigan Consumer Sentiment Index for November will be due on Wednesday. Also, S&P Global PMI data will be released on Friday. Traders will take cue from these figures and find trading opportunities around the USD/CAD pair.

USD/CAD

Overview
Today last price	1.3704
Today Daily Change	-0.0011
Today Daily Change %	-0.08
Today daily open	1.3715

Trends
Daily SMA20	1.377
Daily SMA50	1.3661
Daily SMA100	1.3524
Daily SMA200	1.3509

Levels
Previous Daily High	1.3771
Previous Daily Low	1.3708
Previous Weekly High	1.3844
Previous Weekly Low	1.3655
Previous Monthly High	1.3892
Previous Monthly Low	1.3562
Daily Fibonacci 38.2%	1.3732
Daily Fibonacci 61.8%	1.3747
Daily Pivot Point S1	1.3692
Daily Pivot Point S2	1.3669
Daily Pivot Point S3	1.3629
Daily Pivot Point R1	1.3755
Daily Pivot Point R2	1.3794
Daily Pivot Point R3	1.3817

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

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