What is tradingeconomics forecast for CAD & CAD?

TradingEconomics expected the CAD to be priced against the USD at 1.29 by the end of this quarter, and looking ahead, the USD/CAD forecast will rise to 1.34 in 12 months. In addition to the USD/CAD forecast, the data provider gave price targets for EUR/CAD, GBP/CAD, and AUD/CAD.

What is the forecast for USD/CAD in April 2023?

It anticipates a USD/CAD trading range of 1.353 to 1.395 in April 2023, with a close at 1.374. Long, medium and short-term U.S. dollar to Canadian dollar forecasts are shaped by current conditions and the available data. They can be adjusted at any time, in response to newly released market sensitive information.

Why is the CAD rising?

In the case of Canada, this is related to the price of oil, the country’s main export. When oil prices rise, the CAD often rises; when oil prices fall, the loonie will often decline. The BoC kicked off the most recent rate hiking cycle on 3 March 2022 – ahead of the Fed – raising rates by 0.25% to 0.5%.

Why does the USD appreciate compared to the CAD?

On the other hand, when interest rates in the US are higher than those in Canada, the USD typically appreciates relative to the CAD. This is because higher interest rates in the US make the USD more attractive to investors looking to earn higher returns.