# CAD Rate Forecast: Short Term CAD Outlook Dependent on NAFTA Outcome

> DailyFX said the short-term direction of the Canadian dollar depends on the outcome of NAFTA talks. An agreement would likely push USDCAD back toward 1.29, while a failure could lift it toward 1.32. Market pricing gave only about a 20% chance of a Bank of Canada rate hike at its next meeting.

- Date: 2018-08-31 · published 2018-08-31T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/63770-cad-rate-forecast-short-term-cad-outlook-dependent-on-nafta-outcome
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

The loonie's direction affects the cost of Canadian and U.S. feed trade and sets the basis for Canadian commodity export prices. Traders are pricing a binary NAFTA outcome, which adds volatility to North American grain and oilseed markets.

## Read by commodity

- USDCAD: neutral

## Sources

- nasdaq.com: https://www.nasdaq.com/articles/cad-rate-forecast-short-term-cad-outlook-dependent-nafta-outcome-2018-08-31

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