German commercial bank: The potential for the Canadian dollar to appreciate seems limited.

Michael Pfister of Commerzbank said in a report that even if the renegotiation of the USMCA is successful, the potential for the Canadian dollar to rise seems limited. He stated that even in this scenario, it is unlikely that President Trump's tariff threats against Canada will stop, which could lead to a continued decline in imports from Canada to the United States. He added, "This means that the Bank of Canada may be reluctant to start raising interest rates, and the Canadian dollar will at best slowly start to recover against the US dollar this year." The US dollar fell by 0.1% to 1.3898 Canadian dollars.