Daily Foreign Exchange Update for June 4, 2026

Spot Rates

• USDCAD: 1.3890 - 1.3895 (as at 7:40am PDT)
• Asia: 1.3901 to 1.3925
• Europe: 1.3891 to 1.3907
• North America: 1.3881 to 1.3897

Technical Support / Resistance

• S2 1.3800
• S1 1.3850
• R1 1.3930
• R2 1.3980

Key Economic Data Releases

• U.S. initial jobless claims 225k 213k exp. 212k prev.

Important events we're watching this week:

• June 5, Canada, Canada Employment (May)
• June 5, USA, US Nonfarm Payrolls / Unemployment rate

Market Spotlight

USD/CAD is trading near its highest levels since April due to a broadening U.S.-Canada interest rate gap, renewed trade deal renegotiation concerns, and a strong U.S. Dollar.

Key Drivers Impacting the Pair:

• Monetary Policy Divergence: Widening CAD/USD interest rate spreads continue to drag on the loonie. Weak domestic economic data—highlighted by an unexpected annual contraction in first-quarter GDP—has reinforced expectations that the Bank of Canada will maintain a dovish stance while the Federal Reserve holds a hawkish outlook.

• Trade Uncertainties: U.S.-Canada trade deal renegotiations (USCMA) and tariff fears have injected fresh volatility, further pressuring the Canadian Dollar.

• Commodity Prices: The bullish U.S. Dollar is partially countering rising Oil and Gold prices, which typically provide underlying support to the commodity-linked loonie.

Technical Overview:

The pair holds a strong bullish bias on daily charts, trading above key moving averages. Immediate resistance is aligned near (1.3910)–(1.3925), with a successful daily close above this zone opening the door for a retest of higher (1.3966) levels seen earlier in the year. Initial support rests near the (1.3835) floor. [1]

• Currently, the TSX is up 0.89% while the DJIA is up 1.38%.
• EURCAD is up 0.13% trading between 1.6119 and 1.6177.
• GBPCAD is up 0.05% trading between 1.8643 and 1.8703.
• JPYCAD is down 0.05% trading between 0.008679 and 0.008705.
• Gold is up 0.57% trading between $4,423 - $4,515 USD/oz.
• Silver is up 2.02% trading between $72.47 - $75.34 USD/oz.
• Oil (WTI crude) is down 1.27% trading between $91.91 and $95.91.