2026-03-13 13:40
1 min. read
The Canadian dollar weakened past 1.37 per US dollar as cooling domestic labaor market and shifting global monetary policy expectations reshaped the currency outlook.
The labor market deteriorated in February with an unemployment rate rise to 6.7% and a loss of 83,900 jobs which signaled a deeper cooling of the domestic economy.
Manufacturing sales also declined 3% in January as industrial activity faces headwinds from weaker demand.
Geopolitical uncertainty in the Middle East and the strength of the greenback continue to weigh on the loonie.
Markets are now adjusting to a delayed Federal Reserve easing cycle with rate cuts pushed toward September.
This shift reinforces the yield advantage for the US dollar and leaves the loonie vulnerable to further volatility as investors favor the relative stability of the United States.