ForexMedium•14 October 2026•
1 min read
Canadian Dollar Hits 18-Month Low Against USD Following Hot Inflation Data
Key Facts
1The USD/CAD pair rose 0.50% to reach 1.4287, hitting an 18-month high.
2Stronger-than-expected US inflation data increased the likelihood of a Federal Reserve rate hike in October.
The USD/CAD pair rose 0.50% to reach 1.4287, marking its highest level in 18 months. FXStreet reported that the Canadian Dollar weakened significantly after US inflation data for September 2026 came in stronger than anticipated, driving demand for the US Dollar.
The hot inflation figures have increased the likelihood of a Federal Reserve interest rate hike in October under Chair Kevin Warsh. This trend follows recent Canadian labor data from October 9, 2026, which showed the unemployment rate at 6.5% and a sharp decline in employment by 68.3k positions.