AUD/CAD Bulls Target Parity as USD/CAD Holds 15-Month High

AUD/CAD continues its firm uptrend toward parity as CAD weakness persists into late June. The Canadian dollar first fell to a 14-month low on June 18, sending USD/CAD to 1.4146 amid widening yield spreads and Brent crude near $78. Canada's hotter-than-expected May CPI at 3.2% on June 22 failed to shift BoC expectations, with rates seen staying at 2.25% due to soft growth. Crowded bearish CAD positioning and overbought USD/CAD technicals now raise short-covering risks, while dip-buyers keep supporting AUD/CAD.