Investing.com - The U.S. dollar held steady at 11-year highs against its Canadian counterpart on Tuesday, as investors awaited the release of U.S. consumer sentiment data later in the day amid growing uncertainty over a possible U.S. rate hike before the end of the year.
USD/CAD hit 1.3432 during early U.S. trade, the pair's highest since June 2004; the pair subsequently consolidated at 1.3404.
The pair was likely to find support at 1.3314, Monday's low and resistance at 1.3812.
Mixed messages from central bank policymakers last week led to uncertainty over whether the Federal Reserve will raise short term interest rates this year.
New York Fed President William Dudley and San Francisco Fed head John Williams indicated support for a rate hike in 2015 in separate speeches on Monday, but Chicago Fed President Charles Evans said rates should remain on hold until mid-2016.
The remarks came after Fed Chair Janet Yellen said last week that the bank was still on track for a rate hike before the years end.
The loonie was higher against the euro, with EUR/CAD sliding 0.32% to 1.5017.
The single currency came under pressure after data showed that Germany's annual rate of inflation slowed to zero in September, worse than forecasts of 0.1%.
The German consumer price index fell 0.2% from a month earlier, compared to expectations for a decline of 0.1%.