Watch the video here or read the transcript here

The summary to know:

• CAD has been the best performing major currency against the US dollar since the Iran war began (through March 10, 2026).
• The USD has also strengthened more broadly amidst a risk off backdrop across the various asset classes.
• USD/CAD weakness during a period of broad-based USD strength is unusual based on what we have observed from our correlation framework.
• We examine possible causes for this divergence as well as the concept of CAD as a “mini dollar”.
• We conclude by presenting some war scenarios and the expected impact on CAD going forward.