Investing.com - The U.S. dollar edged higher against its Canadian counterpart on Wednesday, as investors awaited the Bank of Canada’s interest rate decision due later in the day.
USD/CAD hit 1.3447 during early U.S. trade, the session high; the pair subsequently consolidated at 1.3426, adding 0.13%.
The pair was likely to find support at 1.3274, Tuesday’s low and resistance at 1.3553, the high of March 1.
Later Wednesday, the BoC was expected to hold interest rates at 0.50%.
The commodity-related Canadian dollar has been supported recently by rising oil prices. Crude oil futures were hovering above $37 a barrel on Wednesday, amid ongoing hopes for a production cut.
Meanwhile, investors remained cautious after weak trade data out of China on Tuesday rekindled concerns over a possible slowdown in global economic growth.
China’s exports slumped 25% in February, the biggest drop since May 2009.
The loonie was higher against the euro, with EUR/CAD declining 0.41% to 1.4700.