USD/CAD loses ground around 1.3862 amid a softer USD. Fed is anticipated to maintain rate steady at the end of its two-day meeting on Wednesday. A decline in oil prices might exert pressure on the commodity-linked Loonie. Investors will focus on the Canadian growth number and PMI data ahead of the Fed rate decision at its November meeting. USD) weighs on the pair. Investors will focus on the highly-anticipated Federal Reserve interest rate decision on Wednesday, with no change expected.
On the Loonie front, a decline in oil prices might limit the upside of the commodity-linked Loonie as the country is the major oil exporter to the US. The Bank of Canada decided to hold the rate unchanged last week at 5%. BoC Governor Tiff Macklem said that the decision to maintain the rate was because the central bank wanted to allow monetary policy time to cool the economy and relieve price pressure.