Canadian Dollar Rallies as Commodities & Stocks Gain

The Canadian dollar rallied today after the significant growth of the US employment boosted commodities, including crude oil, and stocks, increasing demand for the currencies linked to economic growth.

Employment in the US posted the tremendous growth of 297,000 in December, which is almost three times as big as forecasts promised. The good news increased investors’ risk appetite and spurred commodities.

February delivery for crude oil, the main Canada’s export, advanced as much as 1.1 percent to $90.32 per barrel on NYMEX, following the earlier decline by $1.28 to $88.10 per barrel. March futures for delivery copper rose 0.9 percent to $4.408 per pound on COMEX. The MSCI World Index of equities slid 0.3 percent after it reached the highest level in more than two years yesterday.

USD/CAD traded near 0.9967 as of 23:40 GMT, following the opening at 0.9982. EUR/CAD slumped from 1.3282 to 1.3108.

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