Investing.com - The U.S. dollar was steady close to one-week highs against the Canadian dollar on Tuesday, as investors turned their attention to Wednesday’s minutes of the Federal Reserve’s June meeting.
USD/CAD touched highs of 1.0695, the most since June 30 and was last at 1.0677, almost unchanged for the day.
The pair was likely to find support at 1.0630, Monday’s low and resistance at 1.0725.
Demand for the greenback continued to be underpinned after a strong U.S. jobs report late last week sparked speculation that the Federal Reserve could bring forward its timetable for raising interest rates.
The U.S. economy added a larger-than-forecast 288,000 jobs last month, while the unemployment rate ticked down to 6.1%, the lowest in almost six years.
But the dollar’s gains against the other major currencies paused on Tuesday due to the belief that the Fed will stick to its dovish stance on monetary policy amid concerns over ongoing slow growth in inflation and wages.
Markets were looking to Wednesday’s minutes for further indications on the central bank’s monetary policy stance.
Trade was expected to remain subdued with no major economic reports in the U.S. or Canada scheduled for release on Tuesday.
Elsewhere, the loonie, as the Canadian dollar is also known, was close to its 2014 highs against the euro, with EUR/CAD slipping 0.12% to 1.4517, not far from the six-month trough of 1.4440 set last Thursday.
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