The Canadian dollar extended a three-session advance against the U.S. dollar on Oct. 30, with USD/CAD near 1.3970, as markets digested a Bank of Canada rate increase and shifting oil prices.
FXStreet put the pair near 1.3970 during Asian trading and described a third consecutive session of declines for USD/CAD. An Investing.com snapshot showed a rate of 1.3969 at 01:07 UTC on Oct. 30. A lower USD/CAD reading means each U.S. dollar buys fewer Canadian dollars. The rate remains below C$1.40, a level featured in EconoTimes’ earlier coverage of the dollar ahead of rate decisions in Canada and the United States.
Oil prices moved in different directions across the two sessions. Reuters reported Brent crude futures settled Thursday down 0.38% at $114.88 a barrel, while U.S. West Texas Intermediate (WTI) futures settled 0.76% lower at $102. Reuters said hopes for U.S.-Iran peace talks eased some concerns about supply. The Nation Thailand reported WTI later rose 0.8% to $102.81 in early Asian trading Friday. FXStreet described softer crude as a headwind for the commodity-linked Canadian dollar.
The Bank of Canada raised its overnight-rate target by 25 basis points to 2.5% on Oct. 28. The Bank said it acted partly to keep energy-related inflation from becoming more widespread. It left open the possibility of another increase, while saying policymakers would take uncertainty into account as they decide what to do next.
U.S. economic releases on Oct. 29 showed real gross domestic product grew at a 3.4% annual rate in the third quarter, compared with 2.2% in the second, the Bureau of Economic Analysis said. The agency reported that its core personal consumption expenditures price index was up 3.1% from a year earlier in September. The Labor Department said initial jobless claims fell by 1,000 to 194,000 for the week ended Oct. 24. The Bank of Canada’s next rate announcement is scheduled for Dec. 9, 2026.
