The Canadian dollar sank yesterday and retained its losses today due to the drop of crude oil prices. Crude declined as the complicated situation with Greece deterred traders from buying commodities.
Canadian Dollar CAD
Central Bank: Bank of Canada
Interest Rate: 0.75%
Public Debt to GDP Ratio, 2013: 86.3%
Trade Balance, 2013: -$12.3 bln.
Inflation, 2013: 1%
Major commodity exporter
Factors of Weakness
Dependence on United States as a major counterparty
The Canadian dollar is the official currency of Canada and is the 7th most traded currency in the world. It is often nicknamed “loonie” for the image of the aquatic bird on $C1 coin. The loonie was introduced as a currency used in Canada and all of its provinces in 1871, while the fixed exchange rate was abandoned in 1970. It is used by some central banks as a reserve currency. The performance of the currency depends on raw materials. Prices for crude oil are the most influential factor on the value of Canada’s dollar as oil is the most important export of Canada.
Canadian Dollar News Archive
June 30th, 2015 at 0:32
June 08th, 2015 at 11:22
Canadian dollar ended last week on a strong note, but the currency is mostly lower today as a new week gets under way. Forecasts expect to see the loonie weaken through the rest of 2015.
June 05th, 2015 at 17:18
The Canadian dollar made a huge leap higher today after the release of amazingly good employment data from Canada. The currency was able to outperform the US dollar, which itself had been bolstered by employment data from the United States.
June 03rd, 2015 at 11:17
Fueled by US dollar weakness and better oil prices, the loonie headed higher yesterday. Today, though, the Canadian dollar is down again, heading lower against the greenback and its other major counterparts.
May 30th, 2015 at 17:57
The Canadian dollar experienced weakness during the past week. While the currency managed to rally against the Japanese yen, the loonie demonstrated losses versus the US dollar and the euro.
May 29th, 2015 at 21:57
The Canadian dollar sank today after data that showed an unexpected decline of Canada’s economy. The currency recovered somewhat by the end of the trading session, erasing losses against the US dollar and the Japanese yen, also trimming the drop versus the euro.
May 28th, 2015 at 21:25
The Canadian dollar had been falling against its US counterpart and the euro during the most part of the Thursday’s trading session. Yet as of now, the currency has managed to erase losses versus the greenback and to pare the decline against the currency of the eurozone. On top of that, the loonie rallied versus the Japanese yen.
May 27th, 2015 at 10:53
After a bit of a rally, the Canadian dollar is struggling again. Even upbeat comments from the Bank of Canada can’t help the loonie overcome some of the realities of the current situation.
May 26th, 2015 at 11:31
Canadian dollar is losing ground against some of its major counterparts today, but there has been a slight shift in the long-term outlook for the loonie. Even though the Canadian dollar is lower today, there might be room for some strength in the future as the economy improves and if oil prices continue to recover.
May 20th, 2015 at 10:15
Canadian dollar is mostly lower again today, thanks to the slide in oil prices. The loonie is struggling as oil, once again, falls away from the $60 a barrel mark.