USD/CAD surges to 1.3900 neighborhood as Trump trade boosts USD


  • USD/CAD catches aggressive bets and draws support from a combination of factors.
  • The USD rallies across the board in reaction to Trump's early election lead.
  • Retreating Oil prices, dovish BoC minutes undermine the CAD and support the pair. 

The USD/CAD pair rallies over 80 pips from a two-week low, around the 1.3820-1.3815 region touched during the Asian session on Wednesday, reversing the previous day's losses and snapping a two-day losing streak. Spot prices, however, struggle to build on the momentum and remain below the 1.3900 mark as investors assess the incoming US election exit polls. 

The US Dollar (USD) surged across the board and shot to a one-week high after initial results indicated a lead for the Republican nominee Donald Trump in Georgia – a key swing state. Apart from this, a further pullback in Crude Oil prices from over a three-week top touched on Tuesday is seen undermining the commodity-linked Loonie and provides a goodish lift to the USD/CAD pair. 

The Canadian Dollar (CAD) is further weighed down by dovish Bank of Canada (BoC) October meeting minutes, showing that the governing council felt upside pressures on inflation will continue to decline and that the monetary policy need not be as restrictive. This keeps the door open for more aggressive policy easing by the Canadian central bank and favors the USD/CAD bulls. 

That said, preliminary results of the Pennsylvania exit poll turn out to be a mixed bag for Trump and Vice President Kamala Harris. This, in turn, keeps a lid on any further USD appreciation and acts as a headwind for the USD/CAD pair. Volatility in financial markets is expected to remain elevated on the back of the US election results, warranting some caution before placing aggressive directional bets.

US Dollar PRICE Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Japanese Yen.

  USD EUR GBP JPY CAD AUD NZD CHF
USD   0.88% 0.52% 0.93% 0.39% 0.68% 0.38% 0.72%
EUR -0.88%   -0.36% 0.03% -0.49% -0.20% -0.51% -0.16%
GBP -0.52% 0.36%   0.40% -0.13% 0.16% -0.15% 0.20%
JPY -0.93% -0.03% -0.40%   -0.55% -0.26% -0.58% -0.22%
CAD -0.39% 0.49% 0.13% 0.55%   0.29% -0.02% 0.33%
AUD -0.68% 0.20% -0.16% 0.26% -0.29%   -0.31% 0.05%
NZD -0.38% 0.51% 0.15% 0.58% 0.02% 0.31%   0.35%
CHF -0.72% 0.16% -0.20% 0.22% -0.33% -0.05% -0.35%  

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 US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

XM
Account
7.2
Tools
9.2
Service
9.4
Trading
9.0
Trust
7.0
Experience
8.4
Read review
Moneta Markets
Account
7.4
Tools
6.6
Service
8.0
Trading
6.6
Trust
5.2
Experience
9.2
Read review
Trading Pro
Account
7.2
Tools
5.2
Service
6.6
Trading
8.0
Trust
5.0
Experience
7.0
Read review
Pepperstone
Account
8.2
Tools
8.2
Service
7.4
Trading
9.0
Trust
8.8
Experience
9.0
Read review
XM
Read review
Moneta Markets
Read review
Trading Pro
Read review
Pepperstone
Read review
Trading Pro
Read review
Pepperstone
Read review
XM
Read review
Moneta Markets
Read review
Trading Pro
Account
7.2
Tools
5.2
Service
6.6
Trading
8.0
Trust
5.0
Experience
7.0
Read review
Pepperstone
Account
8.2
Tools
8.2
Service
7.4
Trading
9.0
Trust
8.8
Experience
9.0
Read review
XM
Account
7.2
Tools
9.2
Service
9.4
Trading
9.0
Trust
7.0
Experience
8.4
Read review
Moneta Markets
Account
7.4
Tools
6.6
Service
8.0
Trading
6.6
Trust
5.2
Experience
9.2
Read review

Recommended content


Recommended content

Editors’ Picks

EUR/USD remains offered in the low-1.0900s

EUR/USD remains offered in the low-1.0900s

The generalised selling pressure continues to weigh on the risk complex, pushing EUR/USD back toward the 1.0900 support level amid a growing risk-off mood, as traders assess President Trump’s reciprocal tariffs and their impact on economic activity.

EUR/USD News
GBP/USD retreats further and breaks below 1.2800

GBP/USD retreats further and breaks below 1.2800

The US Dollar is picking up extra pace and flirting with daily highs, sending GBP/USD to multi-week lows near 1.2770 in a context where safe-haven demand continues to dictate sentiment amid the chaos of US tariffs.

GBP/USD News
Gold recedes to four-week lows near $2,950

Gold recedes to four-week lows near $2,950

The persistent selling pressure is now dragging Gold prices to the area of fresh multi-week troughs near the $2,950 mark per troy ounce, always amid the continuation of the recovery in the US Dollar, highr US yields across the curve and unabated tariff tensions.

Gold News
US stock market suddenly reverses higher after rumor of 90-day tariff pause before sinking again

US stock market suddenly reverses higher after rumor of 90-day tariff pause before sinking again Premium

NASDAQ sinks 4% before shooting higher on tariff pause rumor. CNBC says White House unaware of tariff pause rumor. S&P 500 sinks to January 2024 level. Bank of America cuts its year-end target for S&P 500 by 16%.

Read more
Strategic implications of “Liberation Day”

Strategic implications of “Liberation Day”

Liberation Day in the United States came with extremely protectionist and inward-looking tariff policy aimed at just about all U.S. trading partners. In this report, we outline some of the more strategic implications of Liberation Day and developments we will be paying close attention to going forward.

Read more
The Best brokers to trade EUR/USD

The Best brokers to trade EUR/USD

SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.

Read More

Forex MAJORS

Cryptocurrencies

Signatures

Best Brokers of 2025