Insights 
VT 
The Canadian Dollar is weakening, influenced by wider US/Canada short-term spreads. Positive risk sentiment has not benefitted the CAD today.
Bank of Canada Governor Macklem is set to speak on the Canadian economic outlook without prepared remarks or media interaction. He is anticipated to discuss slow growth and trade challenges, noting monetary policy’s limits in addressing tariff effects.
Technical Indicators Against The CAD
Caution around the CAD may persist with the forthcoming Federal budget announcement. Technical indicators have turned against the CAD, amplified by a USD rally from its mid-week low, which has prompted bullish signals on various charts.
The USD is buoyed by these collective bullish price signals, pushing through the low 1.40s. This movement supports a bullish USD forecast, potentially challenging resistance at 1.4080 and rising towards the 1.4150/60 region. The support level is 1.3975/00.
The FXStreet Insights Team curates market observations from experts, incorporating both commercial notes and insights from analysts.
Pressure On The Canadian Dollar
The Canadian Dollar is feeling some pressure today, November 3rd, 2025, largely because the gap between U.S. and Canadian interest rates has widened again. We saw the latest Canadian jobs report for October come in a little softer than expected, with Statistics Canada reporting job growth of only 15,000 against a forecast of 25,000. Even with broader market stability, the CAD isn’t finding much support.
We are watching for comments from Bank of Canada Governor Macklem later today, but don’t expect any surprises. His message will likely echo last week’s policy statement, highlighting that the high interest rates we’ve seen since the 2022-2023 hiking cycle are still working to slow the economy. The Bank seems to feel its hands are tied when it comes to boosting growth right now.
From a technical standpoint, the signals have turned sharply against the CAD in the past week. The strong U.S. dollar rebound from the lows seen last week created bullish patterns across multiple timeframes. This gives us confidence that the U.S. dollar has more room to run.
The move we saw in USD/CAD through the 1.3720 level energizes the bullish U.S. dollar view, putting resistance at 1.3800 at risk in the coming weeks. We believe these price signals suggest a potential push towards the 1.3850 area. For now, we see initial support for the pair around the 1.3700 mark.
