Canadian Dollar Climbs as Oil and Rate Bets Lift Loonie

The Canadian dollar strengthened on Friday, supported by rising oil prices and growing expectations that the Bank of Canada (BoC) will raise interest rates. Oil, one of Canada's largest exports, gained ground, lifting demand for the currency tied to it. At the same time, traders increased bets that the BoC will hike rates, making the loonie more attractive to investors seeking higher returns. The combination of firmer crude prices and rate-hike expectations pushed the Canadian dollar higher against its U.S. counterpart.