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Forex - USD/CAD holds steady near 28-month lows in early trade

Published 09/11/2017, 09:32 AM
© Reuters.  Greenback little changed vs. loonie, hovers near multi-month trough
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Investing.com - The U.S. dollar held steady near 28-month lows against its Canadian counterpart on Monday, as concerns over the impact of Hurricane Irma and geopolitical risks eased.

USD/CAD was little changed at 1.2156 by 09:30 a.m. ET (13:30 GMT), re-approaching Friday's 28-month trough of 1.2059.

The U.S. dollar found some support following an official downgrading of Hurricane Irma’s strength to Category 1 on Monday. The storm pummeled Florida over the weekend after devastating much of the Caribbean.

Massive storm surges have flooded areas across South Florida, while downed trees and power lines have left over 2 million residents without power.

Lower concerns over the tropical storm also benefited oil prices, which briefly rebounded on Monday, lending some support to the commodity-related Canadian dollar.

The greenback was also able to regain some footing as concerns over tensions with North Korea eased.

Market participants had been worried about a potential North Korean missile test on Saturday, to mark the anniversary of the founding of the nation.

However,investors were relieved to learn thay Pyongyang chose to observe the 69th anniversary of its founding only by honoring the scientists behind the massive nuclear test it conducted last week.

The loonie was higher against the euro, with EUR/CAD dropping 0.48% to 1.4561.

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