USD/CAD strengthens after BoC keeps policy steady; Fed in the spotlight

The Canadian Dollar (CAD) is under pressure against the US Dollar (USD) as the market digests the Bank of Canada's (BoC) recent decision to keep interest rates steady. Although this decision was not a surprise to investors, it highlights the weakness of the CAD, especially in contrast to the upcoming Federal Reserve's policy decision. Market participants are closely watching future interest rate outlooks, with expectations that they could significantly influence USD/CAD movements. Economic indicators, particularly U.S. employment and inflation data set to be released, will also play a crucial role in shaping the CAD's price dynamics.