💥 Canadian Dollar plunges after Trump halts trade talks with Canada
Geopolitical drama sends loonie tumbling—what it means for investors
The Canadian dollar (CAD) sharply declined today as U.S. President Trump abruptly canceled trade negotiations with Canada. This unexpected move spooked global markets and triggered a surge in risk aversion, boosting demand for the U.S. dollar while leaving the loonie vulnerable. The shift highlights how closely currencies react to sudden political shifts—and why traders now see potential for more USD gains amid uncertainty.
Why this matters beyond currency traders
A weaker CAD impacts everything from cross-border investments to commodity prices, and adds cost pressure on Canadian businesses importing goods. Watching today's political crosswinds is essential for anyone positioned between the U.S. and Canadian economies. This could be the start of a broader shift in North American trade and FX markets.