The Canadian dollar clawed back much of its decline against its U.S. counterpart on Monday as investors weighed the possibility of Canada achieving a reprieve from U.S. tariffs, with the currency rebounding from an earlier 22-year low.

The Canadian dollar reacted as well, dropping to a 22-year-low against the American dollar at US$0.6854. But after U.S. President Donald Trump announced a 30-day pause of tariffs against Canada and Mexico, citing new border security measures in the two countries, the dollar has rebounded sharply.

The value of the Mexican peso and Canadian dollar jumped Monday after officials from both countries said President Trump agreed to [delay wide-ranging U.S. tariffs by a month](

China's yuan slumped to a record low in offshore trading on Monday, while Mexico's peso and Canada's dollar tumbled to multi-year troughs after U.S. President Donald Trump slapped the countries with tariffs,

The US administration has de facto scrapped the USMCA agreement that President Donald Trump himself had negotiated in 2019, as tariffs were imposed on Canada, Mexico this weekend. You can find our economics team’s initial thoughts on US tariffs here. In this note, we'll be focusing on Canada.

The Canadian dollar, Mexican peso and euro were steady against the U.S. dollar on Tuesday following a wild ride on Monday when they rebounded sharply from multi-year lows after U.S. President Donald Trump suspended tariffs on Canada and Mexico by a month.

The Canadian dollar went on a wild ride Monday, trading below 68 cents U.S. in anticipation of Donald Trump’s 25 per cent tariffs only to soar over 2.5 per cent on news of a reprieve later that day. The loonie rose to 69.