USD/CAD STRENGTHENS ABOVE 1.4100 ON TARIFF PAUSE
USD/CAD STRENGTHENS ABOVE 1.4100 ON TARIFF PAUSE
The USD/CAD pair rose to approximately 1.4105 during the early Asian session on Thursday, recovering some of its previous losses.
The US Dollar (USD) edged higher against the Canadian Dollar (CAD) following President Donald Trump's announcement of a 90-day delay on reciprocal tariffs.
President Trump decided to postpone the implementation of 25% tariffs on imports from Canada and Mexico, initially planned to take effect on March 4.
The tariff delay led to a temporary relief in market sentiment, contributing to the USD's strength against the CAD.
Despite the USD's appreciation, the Canadian Dollar remained relatively stable, aided by Canada's exemption from certain US tariffs due to the USMCA agreement.
Oil prices, a significant factor for the CAD, declined by 1.2% to $61.26 per barrel, adding to concerns about a global economic slowdown.
Reuters
Investors are awaiting Canadian employment data, with expectations of 20,000 new jobs added in February and the unemployment rate remaining at 6.7%.
