During the American session, the USD/CAD surged beyond 1.2500.
Above 92.60, the US Dollar Index remains in positive territory.
WTI continues to fall, trading below $72 after a recent rally.
The USD/CAD pair gained traction in the second half of the day after trading flat around 1.2450 during European trading hours, reaching its highest level since late April at 1.2519. The pair, however, has lost the most of its daily gains and is currently trading at 1.2475, up only 0.1 percent on the day.
The rise in USD/CAD was aided by further USD strength in the early American session and dropping crude oil prices. Following a dramatic drop on Tuesday, the barrel of West Texas Intermediate fell to $71.06 on Wednesday, its lowest level since June 18, before staging a slight recovery. WTI is currently trading at $71.90, down 2.5 percent on the day.
The US Dollar Index (DXY), on the other hand, rose to a new three-month high of 92.84 as the USD continued to see demand from American traders entering the market. The DXY is currently trading at 92.67, up 0.15 percent.
According to the only statistics released on Wednesday from the United States, the number of job opportunities on the last business day of May remained unchanged at 9.2 million. The FOMC’s June meeting minutes will be examined later in the day for new impetus. Investors will be on the lookout for new information on when tapering will begin. If the publication reaffirms the FOMC’s aggressive policy outlook, the USD is likely to strengthen more, and vice versa./n
