Forex – USD/CAD Moves Higher but Upside Limited

© Reuters. Greenback rises against loonie but gains capped – The U.S. dollar moved higher against its Canadian counterpart on Tuesday, but gains were expected to remain limited as the end of the U.S. shutdown failed to boost demand for the local currency, while rising oil prices were expected to lift the commodity-related Canadian currency.

was up 0.27% at 1.2478 by 09:30 a.m. ET (13:30 GMT).

The dollar only mildly rebounded after Congress on Monday to fund the government for around three weeks and President Donald Trump signed the bill, ending the three-day government shutdown.

Lawmakers have been trying to reach a deal on immigration, which is viewed as crucial to breaking the deadlock.

This is the first U.S. government shutdown since 2013. That year, the government was shut down for 16 days.

Meanwhile, the Canadian dollar was likely to benefit from a rise in on Tuesday, as traders turned their attention to this week’s U.S. supply data.

The loonie was lower against the euro, with adding 0.27% to 1.5301.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.