Canadian Dollar Down as Traders Wait for Fed Minutes

The Canadian dollar fell today against its major peers as the drop of crude oil prices continues to weigh on the currency. Additionally, traders were unwilling to buy risky currencies tied to economic growth ahead of the release of Federal Reserve policy meeting minutes.

Futures for crude oil fell more than 1 percent in New York today. As it often happens, the Canadian currency followed moves of the major Canada’s export commodity.

Meanwhile, traders wait for the Fed minutes. The report may give hints regarding the probability of monetary tightening in December. Prospects for tighter policy in the United States hurt commodities, and thus commodity-geared currencies, like the Canadian one. On top of that, expectations of an interest rate hike boost the US dollar pushing other currencies further down.

USD/CAD wad up from 1.3317 to 1.3352 as of 18:38 GMT today. EUR/CAD gained from 1.4173 to 1.4207. CAD/JPY went down from 92.62 to 92.47.

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