USD/CAD slides further below mid-1.3800s on rebounding Oil prices and a weaker USD

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USD/CAD slides further below mid-1.3800s on rebounding Oil prices and a weaker USD
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The USD/CAD pair remains under some selling pressure for the second successive day on Thursday and extends the overnight rejection slide from the 1.

A combination of factors drags USD/CAD away from the YTD peak touched on Wednesday. A modest uptick in Oil prices underpins the Loonie and exerts pressure amid a weaker USD. A positive risk tone is seen as another factor denting demand for the safe-haven Greenback. 3900 mark, or its highest level since October 2022. The downtick drags spot prices to the 1.3825 area during the Asian session and is sponsored by a combination of factors.

The yield on the rate-sensitive two-year US government bond falls to its lowest level since September 8 and the benchmark 10-year Treasury yield moves away from the 5% threshold. This, along with a generally positive tone around the equity markets, turns out to be another factor denting the Greenback's relative safe-haven status. The Fed, meanwhile, acknowledged the US economic resilience and left the door open for additional rate hikes.

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