The Canadian Dollar Exchange Rate was in the region of 0.9974 against the US Dollar as of 15:27 pm GMT
Although the Canadian Dollar was able to recoup much of its recent losses against the US Dollar yesterday, it quickly shed the modest gain as comments made by the Bank of Canada Governor started to sink in with investors.
Positive news relating the crude oil, one of Canada’s most important exports, allowed the ‘Loonie’ to rise from a two-week low against the ‘Greenback’.
And the Canadian Dollar initially held on to those gains, despite BoC Governor Mark Carney asserting that with the Canadian economy slowing there was less urgency behind interest-rate increases.
However, as these comments began to take hold, and with no Canadian economic news to offset them, the ‘Loonie’ fell from 0.9990 US Dollars to 0.9956, although a later upward correction left it trading in the region of 0.9970.
The Canadian Dollar experienced little movement after current Bank of England Governor Mervyn King put forward the opinion that the fluctuation of currencies as a result of fiscal-stimulus policy should be allowed.
As the chief economist with the Canadian branch of HSBC Holdings Plc said: ‘People could be paying more attention to Carney’s comment when he talked about considerable slack in the Canadian economy, and that’s having a bit of an impact overnight.’
David Watt continued: ‘We also haven’t had any Canadian data to focus on. We had that big burst of data on Friday, and if you had a modestly positive view on the Canadian Dollar before that data you’re probably somewhat more cautious now’.
Last week’s Canadian employment statistics and housing starts figures came in significantly below their expected levels.
The next piece of potentially volatile news for the Canadian Dollar, aside from the meeting of the G-20 in Russia at the end of the week, comes on Friday in the form of Canadian existing home sales for January.
Current Canadian Dollar Exchange Rates
The Canadian Dollar to Euro exchange rate is currently trading at 0.7403
The Canadian Dollar to Pound Sterling exchange rate is currently trading at 0.6408
The Canadian Dollar to US Dollar exchange rate is currently trading at 0.9974
The Canadian Dollar to Australian Dollar exchange rate is currently trading at 0.9650
The Canadian Dollar to New Zealand Dollar exchange rate is currently trading at 1.1848
The Canadian Dollar to Emirati Dirham exchange rate is currently trading at 3.6597
The Canadian Dollar to Swiss Franc is currently trading at 0.9146
The Canadian Dollar to Japanese Yen exchange rate is currently trading at 93.3347
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