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Forex - Greenback little changed vs. loonie in early trade

Published 2017-03-29, 09:28 a/m
© Reuters.  Greenback holds steady vs. loonie despite higher oil prices
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Investing.com - The U.S. dollar was little changed against its Canadian counterpart on Wednesday, as rising oil prices lent support to the commodity-related Canadian currency, while upbeat U.S. consumer sentiment data released on Tuesday also boosted the greenback.

USD/CAD hit 1.3356 during early U.S. trade, the session low; the pair subsequently consolidated at 1.3389.

The pair was likely to find support at 1.3319, Monday’s low and resistance at 1.3415, Tuesday’s high.

The Canadian dollar was boosted by a rise in oil prices on Wednesday, following news of supply disruptions in Libya.

But the greenback’s losses were limited after the U.S. Consumer Board said on Tuesday that its consumer confidence index rose to a nearly 17-year high of 125.6 in March from 116.1 the previous month, far above expectations of a reading of 114.

The U.S. dollar also remained supported after Chicago Federal Bank President Charles Evans and Dallas Fed President Robert Kaplan on Monday suggested that the U.S. central bank will continue its monetary tightening cycle.

The loonie was higher against the euro, with EUR/CAD declining 0.55% to 1.4390.

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