Oil soft, commodity currencies struggle
The US dollar is trying to mount a comeback with Europe headed home. It's off the lows against the euro, yen and pound but it was never on the lows against the commodity currencies to begin with.
Now, USD/CAD is at the high of the week against USD/CAD as it fills in the Sunday gap. The pair is back above the 200-day moving average.
A 1.4% drip in crude prices is helping the pair along with the insane $41.50 discount on Canadian oil due to pipeline bottlenecks. This chart is a big reason the loonie isn't doing better:
At the moment, the market isn't appreciating the better backdrop for CAD on the NAFTA 2.0 deal and its advantageous place in the global trade war, but that's the ebb and flow.