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CAD edges higher as investors await news in Ukraine conflict

Wednesday 23 February, 2022

Daily Currency Update

The Canadian dollar edged higher against the US dollar on Wednesday as investors waited on updates in the Russia-Ukraine conflict. Safe haven currencies like the US dollar and Japanese yen benefitted overnight as Russia ordered troops into separatist regions of eastern Ukraine. In response, the United States and its allies unveiled more sanctions against Russia. A senior US official said the move did not yet constitute a “further invasion” that would trigger the harshest sanctions, but that a wider campaign could come at any time. USDCAD was down 0.31% trading at 1.27291 at the time of writing.

Key Movers

The pound fell against the US dollar and the Canadian dollar on Wednesday following parliament testimony from Bank of England governor Andrew Bailey addressing current inflation risks and the economic outlook. Bailey also warned that UK households may experience even tighter living standards due to "external shocks" from the escalating crisis in Ukraine, which could have an upside risk on energy prices. GBPCAD was down 0.58% trading at 1.72447 at the time of writing.

Expected Ranges

  • EUR/CAD: 1.4387 - 1.4477 ▼
  • GBP/CAD: 1.724 - 1.7356 ▼
  • AUD/CAD: 0.9199 - 0.9239 ▲
  • USD/CAD: 1.2684 - 1.2782 ▼