Trade protectionism and weakness in Emerging Markets have been putting pressure on commodities currencies like the CAD and the AUD. In the case of the CAD, uncertainty around potential OPEC production increases and rate differentials between US and CAD interest rates, have also been affecting its performance versus the USD.
The Canadian dollar is continuing its slide against the US dollar with USD/CAD returning to June 2017 levels. The demise of the loonie has primarily been driven by Trump’s trade wars as well as this week’s OPEC meeting uncertainty. As mentioned previously, if Saudi Arabia announces an increase in oil production to take up the slack from Iran and Venezuela then oil prices could fall and with it the Canadian dollar.