The Canadian dollar (CAD) reached a three-week high on June 5 and traded for $0.76 USD per $1 CAD. According to The Globe and Mail, market optimism can be linked to a recent announcement by the Bank of Canada that the interest rate could increase after July 11.
On June 14, the Canadian Dollar began to decline in value, dropping from $0.77 to a low point of $0.74 USD per $1 CAD on June 27. The positive trend began on June 28, with Canada's national currency reaching value of $0.75 USD per $1 CAD the next day.
Relations between the US and Canada have been deteriorating since Washington introduced 25% and 10% tariffs on steel and aluminum respectively in a bid to "fix" the trade balance. Ottawa has responded by imposing retaliatory 10 to 20% tariffs on a range of US goods.