The US dollar has once again spiked against the Canadian dollar. Yesterday, the greenback flirted to its lowest level since March 7 near 1.3630 and subsequently recovered to around 1.3735.
In spite of market volatility and increased banking sector anxiety, the CAD managed a respectable gain against the USD last week.
As soon as the Bank of Canada dispelled any rumors that it would be raising interest rates in the near future, the Canadian dollar dropped by roughly 2.0% in February.
The Bank of Canada held interest rates steady and stood by its declaration of a "conditional pause" while it awaited and assessed the impending economic data to determine the course of future policy. The difference in policy between the US and Canada caused the Canadian dollar to fall to 1.3850.