The USD is trending higher against most majors amid geopolitical risks in the Middle East and hawkish Fed sentiment. USDCAD has broken above 1.3800 as interest rate spreads widen in favor of the USD.
Key Takeaways
- 1.The USD is strengthening broadly against G10 currencies except the CHF heading into the US Memorial Day holiday weekend.
- 2.Geopolitical tensions are rising following reports of an Iranian drone attack on a nuclear plant in the UAE, impacting market sentiment.
- 3.USDCAD has broken the 1.3800 technical resistance level, driven by widening US-Canada interest rate spreads and a hawkish shift in Fed expectations.
Table of Contents
- Analyst Team
- Overview
- USD Firm Into Holiday Weekend W/ Focus On Iran & Warsh
- USDCAD (1.3800)
- USDCAD short-term technicals
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Authors
Shaun OsborneEric Theoret
Securities
USDCADWTIXAUVIXUS 10Y Yield
Themes
Monetary Policy DivergenceGeopolitical Headline Risk
Regions
North AmericaMiddle EastEuropeUnited StatesCanadaGermany