# Canadian Dollar set for another rough 2025 on expectations of fewer Fed rate cuts, Trump tariffs

> Forecasts point to another weak year for the Canadian dollar in 2025, after it fell about 9% against the US dollar in 2024 to multi-year lows near 1.44. Analysts expect the Bank of Canada to keep cutting faster than the Fed, while the Fed slows its easing, which widens the rate gap.

- Date: 2024-12-22 · published 2024-12-22T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/27209-canadian-dollar-set-for-another-rough-2025-on-expectations-of-fewer-fed-rate
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

A persistently weak loonie lowers the US dollar cost of Canadian canola, grain and oilseed exports, supporting Canadian export volumes. Continued currency weakness also keeps Canadian feed input costs sensitive to exchange rates.

## Read by commodity

- USDCAD: bullish ▲

## Sources

- fxstreet.com: https://www.fxstreet.com/analysis/usd-cad-price-annual-forecast-battered-loonie-unlikely-to-be-saved-by-fed-rate-cuts-202412220918

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.
