USD/CAD makes a move beyond 1.40 for the first time in 4 years

As covered here at the time, the USD/CAD had a very close look at the 1.40 handle yesterday, but it could not get above there at the first attempt and slipped back slightly. The USD/CAD later rebounded back towards 1.40 and subsequently closed in the US at 1.3997. It has busted above 1.40 today though, reaching a high so far at 1.4020. That is the highest level for the USD/CAD since May 2020. As with virtually all the major pairings right now, this move higher is all about the US dollar but let us not forget; the immediate outlook for the Canadian economy is not so bright right now and that is a factor at play too. So, we shall see, if the USD/CAD can manage to post a daily close above that 1.40 handle later today. The immediate signs would suggest there is a fair chance of that playing out. The USD/CAD is currently trading at 1.4010