# Canadian dollar weakens as investors bet on Bank of Canada matching Fed rate cut - The Globe and Mail

> The Canadian dollar fell against the U.S. dollar on March 3 after the Federal Reserve cut rates by 50 basis points to 1.00% to 1.25%, citing coronavirus risks. Investors expected the Bank of Canada to match the cut at its policy decision. The loonie was trading at 1.3371 per U.S. dollar.

- Date: 2020-03-03 · published 2020-03-03T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/54361-canadian-dollar-weakens-as-investors-bet-on-bank-of-canada-matching-fed-rate
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Expected rate cuts in both countries narrow the yield advantage for holding the loonie and weigh on the currency. Coronavirus-driven demand concerns for commodity exporters add to the pressure.

## Read by commodity

- DXY: neutral
- USDCAD: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2026-04-29 | [Canadian dollar steadies as oil lifts BoC rate hike bets - The Globe and Mail](https://feedsoft.ai/events/19934-canadian-dollar-steadies-as-oil-lifts-boc-rate-hike-bets-the-globe-and-mail.md) | -0.1% | +0.3% |
| DXY | 2019-01-21 | [Canadian dollar weakens as IMF cuts world growth outlook, data shows slowdown in China’s economy - The Globe and Mail](https://feedsoft.ai/events/61321-canadian-dollar-weakens-as-imf-cuts-world-growth-outlook-data-shows-slowdown-in.md) | -0.4% | +0.0% |
| DXY | 2024-07-10 | [Why the Fed cutting interest rates may weaken the U.S. dollar](https://feedsoft.ai/events/29459-why-the-fed-cutting-interest-rates-may-weaken-the-u-s-dollar.md) | -0.6% | +0.2% |
| DXY | 2018-06-13 | [US Dollar on Cusp of Renewed Downtrend as Faster-Fed Fails to Inspire the Market](https://feedsoft.ai/events/64711-us-dollar-on-cusp-of-renewed-downtrend-as-faster-fed-fails-to-inspire-the-market.md) | +1.3% | +0.6% |
| DXY | 2017-03-15 | [Will A Fed Rate Hike Boost The Price Of Oil? \| Investing.com](https://feedsoft.ai/events/71924-will-a-fed-rate-hike-boost-the-price-of-oil-investing-com.md) | -1.5% | -1.3% |

## Sources

- theglobeandmail.com: https://www.theglobeandmail.com/investing/markets/inside-the-market/market-news/article-canadian-dollar-retreats-as-g7-stops-short-of-stimulus-details/

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