Canadian Dollar Grows on Improving Conjuncture

Canadian dollar rose this week again, after its sharp turn back from the long-term growth to the depreciation against the U.S. dollar.

This growth was predated by the signs that the U.S. economy won’t be heading into recession soon. Canada is heavily relying on its commodities export and the possible weakening of its major consumer pressed significantly on the national currency.

While the U.S. dollar was losing against all other major currencies this week, except the Great Britain pound, on Friday it began to recover its losses. The Canadian dollar stood out as the exception, being a commodity-bound currency unlike other finance-bound ones.

The week opened with USD/CAD being at 1.0094 rate, the trading ended yesterday near the 0.9951 mark, showing more than 1.4% growth for the loonie, out of which 75 pips were gained particularly on Friday.

If you have any questions, comments or opinions regarding the Canadian Dollar,
feel free to post them using the commentary form below.