Canadian Dollar Could Sink as Low as 68 Cents

Canadian Dollar Could Sink as Low as 68 CentsWhere the price of oil goes, so goes Canada’s dollar. No other major currency is as closely tied to the value of its key commodity export as the loonie is to crude right now. The correlation between the Canadian dollar and the benchmark West Texas Intermediate oil price is about 0.56, meaning the two have a strong positive relationship. That’s the closest association among 16 of the world’s most-traded currencies…

Read More >>

Canadian Dollar Under Pressure Over Rates and Economy

Canadian Dollar Under Pressure Over Rates and EconomyThe Canadian dollar has had a sharp slide since the beginning of 2014 and most predictions are that it will go lower. RBC economists say 87 cents by this fall, perhaps 85 cents next year, while TD Bank says 85 cents before the end of the year, then a rebound to 90 cents in 2015. On Friday the loonie closed up 0.26 of a cent at 89.21 cents US, having…

Read More >>

What a Greek Euro Exit Could Mean for Canada

What a Greek Euro Exit Could Mean for CanadaA tumultuous Greek exit from the eurozone would have a harder impact on Canada’s economy than the credit crisis recession of 2008 and 2009, a report from a major Canadian bank warns. The prospect of debt-saddled Greece defaulting on its loans, and exiting the euro currency union at some point has moved from a remote possibility to a realistic outcome in recent weeks, as a seemingly endless series of summits…

Read More >>

Loonie Hits $1.02 US

Loonie Hits $1.02 USThe Canadian dollar climbed above the $1.02 US level for the first time in seven months on Friday as the currency continued to rally following the Bank of Canada’s recent shift to a more hawkish tone and U.S. GDP figures disappointed the markets. The loonie traded as high as $1.0204 before easing back to close at $1.0194, a gain of 3/10ths of a cent from Thursday’s close. Data from the…

Read More >>