USD/CAD takes offers to pare intraday gains around 1.3420 during early Wednesday morning in Europe. In doing so, the Loonie pair fails to trace options market signals as it consolidates the previous day’s recovery moves from a six-week low.

One-month risk reversal (RR) of the USD/CAD pair, a ratio of call options versus put options, also known as the bullish bets and the bearish bets in that order, printed the first positive figures in three days at the latest, to +0.019.

It’s worth noting that the weekly RR printed the biggest positive figures since late September in the last, with a +0.118 level. That said, the current week’s risk reversal appears -0.136 at the latest.

Moving on, the downbeat US Treasury yields and expectations of softer US inflation data may keep the USD/CAD bears hopeful. However, WTI crude oil’s weakness challenges the Loonie pair’s further downside.

Also read: USD/CAD stays mildly bid above 1.3400 as Oil price drops amid recession woes