Canadian dollar falls as speculators raise bearish bets to highest this year

The Canadian dollar fell to a two-month low versus the U.S. dollar as markets await this week’s Bank of Canada policy decision. Sentiment on the loonie also weakened after data showed speculators increasing bearish positions, adding pressure to the currency. The move reflects FX positioning and policy uncertainty rather than a broader market shock.

Analysis

The Canadian dollar fell to a two-month low versus the U.S. dollar as markets await this week’s Bank of Canada policy decision. Sentiment on the loonie also weakened after data showed speculators increasing bearish positions, adding pressure to the currency. The move reflects FX positioning and policy uncertainty rather than a broader market shock.