The Canadian dollar climbed Tuesday as crude prices inched higher, but investors were mostly hesitant to make huge bets before the much-awaited Federal Reserve’s rate decision.
Market participants are split on whether the US central bank will raise interest rates or defer such a move until later in the year or 2016.
The loonie finished at 75.49 US cents from Monday’s 75.43 US cents.
The risk from Fed’s policy decision is just too important “to not pay attention to,” said Brad Schruder, Director of Foreign Exchange at BMO Capital Markets.
Meanwhile, US crude ended at $44.59 a barrel, buoyed by higher gasoline prices and advances on Wall Street.
The material has been provided by InstaForex Company – www.instaforex.com