Canadian dollar struggles to stop further declines

As the US Dollar sees a broad-market recovery on the back of renewed risk aversion, the Canadian Dollar gave up some of its gains from the previous week. On Monday, the Canadian dollar is down about 0.3 percent versus the US dollar.

The Canadian Dollar is facing downside pressure as the US Dollar sees a broad-market recovery due to renewed risk aversion. The Canadian Dollar is down about a third of a percent against the US dollar on Monday.

The Bank of Canada (BoC) is absent from the economic calendar for the early half of the week, with the latest rate call due on Wednesday. The CAD has performed strongest against the Antipodeans, up nearly six-tenths of a percent and nearly half of a percent against the Aussie and the Kiwi, respectively.

The BoC’s upcoming rate call should represent an entire quarter of no rate hikes, as long as policymakers meet markets in the middle.

Monday’s markets are also impacted by a miss in US Factory Orders, which saw a downside revision to previous figures. The US ISM Services Purchasing Managers Index (PMI) is the key data focus on Tuesday. The Canadian Dollar was the weakest against the US Dollar.