USD/CAD Forecast: Key Signals You Shouldn’t Ignore

Markets in the U.S., Canada, and across the West are entering a period of rapid change. In this video, we break down how investor sentiment, interest rate policy, and defense spending trends are shaping the USD/CAD exchange rate through 2026.

🔍 Topics Covered:

Interest rate trends: Federal Reserve vs. Bank of Canada

Safe-haven demand and risk-off sentiment in global markets

The effect of energy prices and commodity trade on the Canadian dollar

What rising defense investment signals about macroeconomic priorities

We use a systems theory approach to connect key observable patterns — economic policy, investor behavior, and geopolitical developments — into a quarterly USD/CAD outlook.

📈 Forecast Ranges:

Q3 2025: 1.37–1.38

Q4 2025: 1.34–1.36

Q1–Q2 2026: 1.32–1.35 (based on evolving policy paths and market stability)

Follow for more balanced macroeconomic insights, currency outlooks, and market trend analysis.

🔗 Sources:

Central bank policy updates (BoC, Federal Reserve, June 2025)

Energy market briefings (oil and commodity reports)

Institutional currency forecasts (RBC, National Bank)

Global economic trend reports

Defense and budget policy summaries

Investor sentiment surveys (Reuters, S&P Global)