Investing.com – The U.S. dollar erased losses against its Canadian counterpart on Monday, as prices for crude oil, Canada's biggest export, retreated from a 7-day high.
USD/CAD retreated from 1.0222, the pair's lowest since September 22, to hit 1.0258 during European afternoon trade, gaining 0.18%.
The pair was likely to find support at 1.0190, the low of September 22 and resistance at 1.0354, Friday's high.
Earlier in the day, crude oil prices rose to a 7-day high of USD 77.14 a barrel.
On Sunday, Canadian Finance Minister Jim Flaherty said Canada's economic recovery remained "fragile" but "on course".
He expressed particular concern about the weak U.S. economy, the destination for most of Canada's exports, saying “We can see the challenges in the American economy, which affects our economy. We have to be careful.”
The loonie was also up against the euro, with EUR/CAD shedding 0.06% to hit 1.3808.
Earlier Monday, economist Nouriel Roubini, famous for forecasting the credit crisis, warned that the U.S. economy could descend into a second recession. He also said that second-quarter GDP figures for the U.S. were likely to be revised down after “awful” June housing data.
USD/CAD retreated from 1.0222, the pair's lowest since September 22, to hit 1.0258 during European afternoon trade, gaining 0.18%.
The pair was likely to find support at 1.0190, the low of September 22 and resistance at 1.0354, Friday's high.
Earlier in the day, crude oil prices rose to a 7-day high of USD 77.14 a barrel.
On Sunday, Canadian Finance Minister Jim Flaherty said Canada's economic recovery remained "fragile" but "on course".
He expressed particular concern about the weak U.S. economy, the destination for most of Canada's exports, saying “We can see the challenges in the American economy, which affects our economy. We have to be careful.”
The loonie was also up against the euro, with EUR/CAD shedding 0.06% to hit 1.3808.
Earlier Monday, economist Nouriel Roubini, famous for forecasting the credit crisis, warned that the U.S. economy could descend into a second recession. He also said that second-quarter GDP figures for the U.S. were likely to be revised down after “awful” June housing data.