The Canadian dollar posted a modest gain as markets locked in on the Federal Reserve’s next interest rate decision, with investors across North America repositioning ahead of whatever the Fed decides to do. Fed rate decisions carry enormous weight for currency markets globally, and the Canadian dollar sits in an unusually exposed position given how tightly the Canadian and American economies are woven together. Why it mattersA stronger Canadian dollar cuts two ways, and which side you’re on depends entirely on what your business does. Related: Fed Rate Call and FTXs 900 Million Dollar Payout Put Crypto on EdgeFor Canadian exporters, this is bad news — or at least uncomfortable news. The Federal Reserve’s upcoming interest rate decision — a rate hike would likely push the Canadian dollar lower, reversing the current modest gains.