USD/CAD rises on hawkish Fed, Bank of Canada holds rates - Capital Street FX

THE USD/CAD PAIR SURPASSES THE 1.3800 LEVEL DUE TO THE UNCHANGED BOC POLICY . The USD/CAD pair rose above the key resistance level of 1.3800 in early Asian trading, bolstered by the Bank of Canada’s decision to maintain its current monetary policy and hawkish comments from Federal Reserve Chair Jerome Powell during his congressional testimony.. Although S&P500 futures showed some signs of recovery, it was not enough to boost market participants’ risk appetite. Furthermore, the 10-year US Treasury yields fell below 4.0%. The US Dollar Index experienced some volatility after the release of better-than-expected employment data from the Automatic Data Processing (ADP) agency. The data showed that job openings rose to 10.824 million, beating the consensus forecast of 10.6 million, while 242,000 jobs were added in the US, higher than the expected 200,000. The strong labor market data suggests that inflation may remain elevated as demand for talent increases, leading to higher...