FXStreet attributed a modest rise in USD/CAD to lower oil prices early Monday, ahead of rate decisions from Bank of Canada and Federal Reserve on Wednesday.
At 12:26 a.m. ET (04:26 UTC), U.S. West Texas Intermediate (WTI) crude futures were down $2.23 at $101.04 a barrel, while Brent futures fell $2.21 to $114.51, Reuters reported. Both benchmarks had risen the previous week. Later, at 2:53 a.m. ET (06:53 UTC), FXStreet put USD/CAD near 1.4010 in early European trading and said the pair had edged higher as crude retreated.
The Canada Energy Regulator ranked Canada as the world’s fourth-largest crude oil exporter in 2025. Western Canadian oil production averaged 5.1 million barrels per day that year, providing context for the role of energy prices in the currency update.
The Bank of Canada’s overnight rate target stood at 2.25% after its Sept. 2 decision. In a Reuters poll conducted Oct. 21–23, 19 of 34 economists expected the Bank to raise the rate by 25 basis points to 2.50% Wednesday. That was a majority of those surveyed, not a central-bank announcement.
The Consumer Price Index (CPI) rose 3.1% from a year earlier in September, up from 3.0% in August, Statistics Canada reported. Gasoline prices increased 27.8%, while the index excluding gasoline rose 2.2%.
The Bank of Canada is scheduled to announce its decision and publish a Monetary Policy Report at 9:45 a.m. ET (13:45 UTC) Wednesday, Oct. 28. The Federal Reserve is due to issue its policy statement at 2 p.m. ET (18:00 UTC), followed by a press conference at 2:30 p.m. ET (18:30 UTC).
