The Canadian dollar hit its strongest close in a week against its US counterpart on Tuesday as US President Donald Trump signed an executive order putting the Keystone XL pipeline back in play.
"That last bastion of dollar bulls got squeezed out today," said Darcy Browne, managing director of foreign exchange sales at CIBC Capital Markets, adding that signs Canada may escape the worst effects of a renegotiations of the NAFTA trade pact also boosted sentiment.
The Canadian dollar settled at C$1.3161 to the greenback, or 75.98 US cents, stronger than Monday's close of C$1.3267, or 75.37 US cents, and its strongest settlement since January 17.
It has moved sharply but remained within a C$1.30 to C$1.36 range since September.
Canadian government bond prices were lower across the yield curve, with the two-year price down 8 Canadian cents to yield 0.788 percent and the benchmark 10-year declining 66 Canadian cents to yield 1.759 percent.
Comments
Comments are closed for this article.