The Canadian dollar strengthened to 1.39 per USD, posting a third consecutive weekly gain as yield spreads narrowed. Domestic factory data supported the recent narrowing in the gap between US and Canadian bond yields. The spread between Canada’s 2-year yield and the US equivalent has narrowed by about 17 basis points this month. Canadian factory sales rose 0.1% in June from May, marking a fifth consecutive monthly gain, while sales volumes increased 1.2%. Meanwhile, US retail sales unexpectedly fell in July by the most in more than a year. Recent data also showed a stronger Canadian labor market and weaker US employment, reducing expectations for a Federal Reserve rate hike this year while raising the prospect of a BoC hike if energy prices remain elevated. Canada’s economy is estimated to have expanded at an annualized 3.4% in the second quarter, well above the Bank of Canada’s 2.5% forecast.
The USD/CAD exchange rate fell to 1.3874 on August 17, 2026, down 0.01% from the previous session. Over the past month, the Canadian Dollar has strengthened 1.39%, but it's down by 0.52% over the last 12 months. Historically, the USDCAD reached an all time high of 1.62 in January of 2002. Canadian Dollar - data, forecasts, historical chart - was last updated on August 17 of 2026.
The USD/CAD exchange rate fell to 1.3874 on August 17, 2026, down 0.01% from the previous session. Over the past month, the Canadian Dollar has strengthened 1.39%, but it's down by 0.52% over the last 12 months. The Canadian Dollar is expected to trade at 1.39 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.37 in 12 months time.