Dollar/CAD shoots above the round 1.25 level and leaves dust behind it
The Canadian dollar was already pressured by the significant downwards revision of employment data and that is probably driver for the crash of the Canadian dollar after the Fed decision.
What did the Fed do? Nothing. But now the event is out of the way and we have no new dovish rhetoric from Yellen and her colleagues. They are patient on rates, just like beforehand.
Also oil prices continues weighing on the Canadian dollar. Inventory data showed yet another expansion in stockpiles. We are also seeing oil pressured to the downside.
More: USD/CAD: Running Away; Buy Dips targeting 1.30 – CBA
This is how the move looks on the USD/CAD 30 minute chart.
