USD/CAD: BoC Maintains Interest Rate At 1%

USD/CAD: BoC Maintains Interest Rate At 1%

For the 24 hours to 23:00 GMT, the USD declined 0.11% against the CAD to close at 0.9933. The Loonie gained after the Bank of Canada (BoC) left its benchmark interest rate unchanged at 1.0% in December but indicated that it could hike rates in the coming months.

Commenting on the decision, BoC Governor, Mark Carney, indicated that he expected economic growth to accelerate next year, after temporary disruptions in energy output and weak global demand curbed the expansion.`

In the Asian session, at GMT0400, the pair is trading at 0.9919, with the USD trading 0.14% lower from yesterday’s close.

The pair is expected to find support at 0.9905, and a fall through could take it to the next support level of 0.9891. The pair is expected to find its first resistance at 0.9943, and a rise through could take it to the next resistance level of 0.9967.