Oil Surge on Middle East Tensions Lifts CAD, GBP/CAD Falls to 1.8603

GBP/CAD slipped to around 1.8603 on May 27 as the Canadian dollar rallied on rising oil prices triggered by renewed Middle East hostilities and supply disruption fears. The reversal follows the prior session's softening in Brent crude from above $110 to near $102, which had supported the pair alongside weak Canadian inflation data. With no major UK catalysts, near-term direction now hinges on oil-market developments and diplomatic signals between the US and Iran, which could either ease or escalate tensions and further pressure the cross.