Canadian dollar futures saw modest volatility in today’s session, hovering near 0.7350 USD amid softer crude oil prices and mixed export data. Traders are watching Bank of Canada’s rate path closely, with futures pricing in a possible cut later this quarter. Short-term momentum suggests range-bound trading unless commodity support strengthens. OPEC+ will raise oil output from November by 137,000 barrels per day (bpd), it said on Sunday, opting for the same fairly modest monthly increase as in October amid persistent worries over a looming supply glut. By hedging your exchange rate risk with futures, even though the underlying spot market value of your contract payment has declined by C$33,026, you have offset this loss by the gain in the futures position. That’s much more desirable than the C$33,026 dent to farm profits that you would have otherwise sustained. Canadian dollar futures were supported by optimistic housing start numbers, which can indicate broader economic strength. Forward-looking traders are pricing moderate CAD appreciation if domestic economic data remain firm.