EUR/CAD Interest Rate Differential
The current policy-rate gap between Euro and Canadian Dollar, and which side of EUR/CAD earns the carry. Updated daily · as of June 18, 2026.
This is the current gap. The market trades the expected differential, which can move EUR/CAD before any rate change lands.
Go deeper
All interest rate differentials
The full matrix and carry calculator for every major.
The Carry Trade
How the differential becomes a daily swap, and why it crashes.
Euro rate decision
The schedule and results that move the EUR leg.
Canadian Dollar rate decision
The schedule and results that move the CAD leg.
EUR/CAD carry — frequently asked
What is the EUR/CAD interest rate differential?
The EUR/CAD interest rate differential is currently 0.00 pp — the Euro policy rate (2.25%) minus the Canadian Dollar policy rate (2.25%). The two rates are equal, so there is no yield advantage either way.
Does long EUR/CAD earn or pay swap (carry)?
Whether long EUR/CAD earns or pays swap depends on which currency has the higher policy rate. Hold the higher-yielding currency and you receive positive carry; hold the lower-yielding one and you pay it.
Why does the expected EUR/CAD differential matter more than today's?
Markets price the future, not the present. EUR/CAD can move on a widening or narrowing expected differential before any actual rate change, as new data and central-bank guidance shift the expected paths of the Euro and Canadian Dollar central banks. Today's gap is largely already priced in.
Does the higher-yielding side of EUR/CAD always go up?
No. The rate differential is gravity, not a guarantee. It dominates in calm, risk-on conditions, but in a risk-off shock capital rushes to safe havens regardless of yield, and crowded carry positions can unwind violently.