According to Jinshi Data, analysts at Monex Europe pointed out that the strengthening of the Canadian dollar is logical after the US federal court blocked the Trump administration's comprehensive tariff policy. The close trade relationship between Canada and the US, along with improved growth expectations in the US, supports the exchange rate of the Canadian dollar.
Analysts suggest that the Federal Reserve's meeting minutes released on Wednesday may lead to further downward adjustments in interest rate cut expectations, which will suppress the appreciation of the Canadian dollar against the US dollar.