CAD to USD Exchange Rate (2026)
The Canadian dollar (CAD) to US dollar (USD) is the most important currency pair for Canadians — the US is Canada’s largest trading partner, and millions of Canadians travel to, work in, or invest in the United States each year.
Current approximate rate (mid-2026): 1 CAD ≈ $0.72–$0.74 USD
For the live rate, check the Bank of Canada daily exchange rates.
CAD to USD Quick Conversion Table
| Canadian Dollars (CAD) | US Dollars (USD) at 0.73 | USD at Bank Rate (~0.71) |
|---|---|---|
| $100 | $73.00 | $71.00 |
| $500 | $365.00 | $355.00 |
| $1,000 | $730.00 | $710.00 |
| $2,500 | $1,825.00 | $1,775.00 |
| $5,000 | $3,650.00 | $3,550.00 |
| $10,000 | $7,300.00 | $7,100.00 |
| $25,000 | $18,250.00 | $17,750.00 |
| $50,000 | $36,500.00 | $35,500.00 |
Mid-market rate used for left column. Bank retail rate (2–3% worse) shown in right column.
Historical CAD/USD Exchange Rate
| Year | Average CAD/USD | High | Low |
|---|---|---|---|
| 2015 | 0.782 | 0.862 | 0.719 |
| 2016 | 0.755 | 0.795 | 0.685 |
| 2017 | 0.771 | 0.826 | 0.732 |
| 2018 | 0.772 | 0.817 | 0.737 |
| 2019 | 0.754 | 0.775 | 0.733 |
| 2020 | 0.746 | 0.790 | 0.682 |
| 2021 | 0.798 | 0.826 | 0.773 |
| 2022 | 0.769 | 0.803 | 0.723 |
| 2023 | 0.741 | 0.763 | 0.716 |
| 2024 | 0.731 | 0.758 | 0.699 |
| 2025 | 0.714 | 0.733 | 0.678 |
| 2026 YTD | 0.727 | 0.741 | 0.698 |
The Canadian dollar has not traded above par (1:1) with the US dollar since 2013–2014.
What Drives the CAD/USD Exchange Rate
1. Oil prices
Canada is the world’s fourth-largest oil producer, and crude oil is consistently one of Canada’s top exports. When oil prices rise, Canadian export revenues increase, demand for CAD rises, and the dollar tends to strengthen. This correlation is why the CAD is often called a “petrocurrency.”
2. Bank of Canada vs US Federal Reserve policy
Interest rate differentials between the BoC and the Fed drive capital flows. When Canada’s rates are higher relative to US rates, investors move money into CAD-denominated assets, strengthening the dollar. When the Fed raises rates faster than the BoC, USD strengthens and CAD weakens.
3. US trade policy
The United States is Canada’s largest trading partner by far. US tariffs on Canadian goods (as seen in 2025–2026) reduce demand for Canadian exports and can weaken the CAD by reducing trade flows and investor confidence.
4. Risk sentiment
The USD is a global safe-haven currency. During financial crises, recessions, or geopolitical uncertainty, investors buy USD regardless of fundamentals — which typically pushes CAD lower. The 2020 COVID crash saw CAD fall to 0.68 before recovering.
5. Canadian economic data
GDP growth, employment, and inflation data all affect the BoC’s rate decisions, which in turn affect CAD. A stronger-than-expected jobs report often lifts CAD slightly.
Best Ways to Convert CAD to USD in Canada
1. Norbert’s Gambit (best for large amounts)
The cheapest method for converting $5,000+ CAD to USD through a Canadian brokerage:
- Buy shares of DLR (Horizons US Dollar Currency ETF) in your Canadian account — priced in CAD
- Request your brokerage to “journal” the shares to the USD side of your account (DLR.U)
- Sell DLR.U — you now have USD
Cost: ~$10–$20 in commissions + 0.01% ETF spread. Vs. bank rate: saves approximately $200–$300 per $10,000 converted.
Requires: A brokerage account (Questrade, IBKR) with both CAD and USD sides. Takes 1–3 days to settle.
2. Wise (formerly TransferWise)
- Mid-market rate with a transparent flat fee (typically 0.35%–0.65%)
- Best for sending money to a US bank account or spending in USD
- Not ideal for investing (you can’t move USD directly into a brokerage)
Cost on $1,000 CAD: ~$3–$6 in fees. Vs. bank: saves ~$20–$25.
3. Credit card with no foreign transaction fee
For spending in the US, a no-foreign-transaction-fee credit card gives you close to the Visa/Mastercard network exchange rate (within 0.5–1% of mid-market). Examples: Rogers World Elite Mastercard, Scotiabank Passport Visa Infinite, Home Trust Preferred Visa.
4. Online broker or bank wire
Most Canadian discount brokerages offer currency conversion at rates better than bank branches. The spread varies: Questrade is typically ~1.5%, IBKR is ~0.08% (best among major brokers).
5. Bank branch (worst option)
Big bank retail exchange rates are typically 2.5–3.5% worse than mid-market — meaning they keep $25–$35 per $1,000 exchanged. Convenient but expensive for anything over $200.
| Method | Typical Cost on $10,000 CAD | Best For |
|---|---|---|
| Norbert’s Gambit | $15–$30 | Large investment transfers |
| Wise | $35–$65 | Sending to US bank account |
| No-FX credit card | $50–$100 (within network) | US spending |
| Online broker FX | $150 | Investment account conversion |
| Bank branch | $250–$350 | Small, one-off, convenience |
| Airport kiosk | $400–$500+ | Avoid entirely |
CAD/USD and US Investments
Canadians who hold US stocks and ETFs in their brokerage or RRSP accounts are exposed to CAD/USD fluctuations:
- A weakening CAD increases the CAD value of your US holdings (positive effect)
- A strengthening CAD decreases the CAD value of your US holdings (negative effect)
Currency hedging: Some Canadian ETFs offer hedged versions (e.g., VSP is the CAD-hedged version of VFV). Hedged ETFs eliminate currency risk but typically have slightly higher fees and can lag the unhedged version in different market conditions.
Most long-term Canadian investors hold unhedged US equity ETFs (VFV, XUS, ZSP) because CAD/USD fluctuations tend to even out over long periods, and unhedged ETFs are cheaper.