In recent discussions, Daniel Tobon, the head of G10 FX strategy at Citi, emphasized that tariffs are now an integral factor in the US dollar-Canadian dollar (CAD) trade equation. He noted that ongoing tariff discussions under President Trump are creating ripples not only between the U.S. and Canada but also significantly affecting the Mexican Peso and the Chinese Yuan. Over the last four years, as tariffs fluctuated, the USD/CAD exchange rate has seen changes directly correlating with tariffs imposed, illustrating the interconnectedness of global trade and currency values. This situation highlights the growing complexities investors face in navigating foreign exchange markets, as tariffs and trade policies can rapidly alter market dynamics.