Daily Foreign Exchange Update for June 22, 2026

Spot Rates

• USDCAD spot rate: 1.4170 - 1.4175 (as at 8:45am PST)
• Asia: 1.4167 to 1.4193
• Europe: 1.4144 To 1.4182
• North America: 1.4147 to 1.4170

Technical Support / Resistance:

• S2 1.4100
• S1 1.4130
• R1 1.4200
• R2 1.4250

Key Economic Data Releases:

• Canada CPI: 1% exp 0.7% prev 0.4%

Important events we're watching this week:

• June 23, USA, S&P global mfg / services PMI
• June 25, USA, Core PCE price index, GDP Q1
• June 26, USA, Consumer sentiment, UoM consumer inflation exp

Market Spotlight

USD/CAD trades little changed on Monday after a brief bout of weakness following stronger-than-expected Canadian inflation data. At the time of writing, the pair is trading around 1.4165, hovering near its highest level since April 2025. Higher gasoline prices continued to drive the acceleration in headline inflation in May, with annual CPI inflation rising to 3.2% from 2.8% in April, Statistics Canada reported. However, the CAD failed to gain traction as markets focused on stable core inflation rather than the hot headline print. The Bank of Canada's core CPI rose to 2.2% YoY in May from 2.1%. The data suggests the BoC is likely to maintain its current policy settings and keep interest rates on hold.

This contrasts sharply with the Fed, where markets have increasingly priced in the possibility of a rate hike by year-end following last week's monetary policy meeting. In his first meeting as Fed Chair, Kevin Warsh emphasized the central bank's commitment to restoring price stability. The Fed's hawkish stance is keeping the USD supported even as risk sentiment improves amid progress in US-Iran negotiations. Meanwhile, the decline in Oil prices due to US-Iran optimism is adding further pressure on the commodity-linked Loonie. With diverging monetary policy outlooks, a strong USD and softer Oil prices, the CAD remains vulnerable to further losses.

Looking ahead, the Canadian economic calendar remains empty for the rest of the week, with BoC Governor Tiff Macklem scheduled to speak on Tuesday. In the United States, attention will turn to the PCE Price Index later this week, which could provide fresh clues on the Fed's monetary policy path.

• Currently, the TSX is up 0.44% while the DJIA is up 0.35%.
• EURCAD is down 0.12% trading between 1.6178 and 1.6258.
• GBPCAD is up 0.32% trading between 1.8667 and 1.8789.
• JPYCAD is up 0.11% trading between 0.00874 and 0.00878.
• Gold is up 0.31% trading between $4,136 - $4,220USD/oz.
• Silver is up 0.46% trading between $63.77 - $67.13USD/oz.
• Oil (WTI crude) is down 4.27% trading between $73.33 and $77.73.