Eurozone Sentix Investor Confidence climbed to 0.9 in August, its first positive reading in five months, lifting the EUR against the CAD.
EUR/CAD edged higher to around 1.6120 in European trading on Monday, recovering from three consecutive sessions of losses. The move was driven by a rebound in Eurozone investor confidence, which rose to 0.9 in August, marking its first positive reading since March.
Sentiment had dipped to -3.1 in July following a decline triggered by Middle East tensions earlier in the year. The improvement reflects cautious optimism among investors, though gains may be limited by support for the CAD amid elevated oil prices.
West Texas Intermediate crude traded near $77.20 per barrel, bolstered by geopolitical risks in the Middle East. Uncertainty over the reopening of the Strait of Hormuz and recent attacks on energy infrastructure kept oil markets volatile.