The Canadian dollar fell to a seven-month low against the U.S. dollar on Wednesday after the Federal Reserve signaled a more hawkish stance. The loonie traded 0.6% lower at 1.4075 per U.S. dollar, after touching its weakest intraday level since November at 1.4080. The Federal Open Market Committee kept the federal funds rate at 3.50% to 3.75% in its first decision under new chair Kevin Warsh, while its updated dot plot projected a year-end 2026 rate of 3.8%, up from 3.4% in March, implying a 25-basis-point hike this year. Nine Fed officials now expect a rate increase by the end of 2026, boosting the greenback across currency markets. Oil prices settled nearly 1% higher at $76.79 a barrel, and gold dropped 2% on the hawkish tone.