Canadian Dollar Rallies for Second Day

The Canadian dollar gained for the second consecutive session on Thursday as the weakness of US dollar, the rally of crude oil and positive economic data supported the currency.

The softness of the greenback was helping other currencies, and the loonie was one of the strongest against its major counterpart. While experts and US policy makers talk about a December interest rate hike, markets clearly do not believe them, adding to the weakness of the US currency.

Crude oil rallied during the Thursday’s trading session due to concerns that the hurricane headed towards the United States may damage oil rigs.

On Wednesday, data showed that Canadian gross domestic product expanded by 0.3 percent in July. It was a bit slower growth compared to June’s 0.4 percent but faster than the predicted 0.2 percent.

USD/CAD dropped from 1.3312 to 1.3242 as of 22:56 GMT today. EUR/CAD went down from 1.4876 to 1.4818. CAD/JPY advanced from 90.03 to 90.48.

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