Thursday, October 04, 2007

Canuck Currency Kicking Ass

I had known the Canadian currency had made parity with the USD, but I didn't know how far it had come from behind.


Going from 60 cents to a full dollar in just 5 years. Canandians maybe should be looking to buy US assets with their newfound purchasing power.

4 comments:

Anonymous said...

The Aussie dollar is on its way up too - 88.8 US cents!

Anonymous said...

>Canandians maybe should be looking to buy US assets with their newfound purchasing power.

Guess what?
http://biz.yahoo.com/rb/071002/tdbank_commerce.html?.v=14

Unknown said...

Feels so damn good. :P

Thanks Bush! :P

In actuality Canada should be thanking Alberta...for its oil...

But you will never hear Ontario thanking anyone but themselves.

-Brad

Mitch said...

Most of the appreciation is due to strength of the natural resources, all denominated in U.S. dollars. Although the natural resource sector is doing well, this is killing the Canadian manufacturing sector, for whom a weak dollar acts as a crutch for labor inflexibility and higher taxes.

Long term, the ecnonomic fundamentals for the Canadian dollar is downward, especially when you consider the demographic fiscal crunch of all the baby boomers retiring, using up even more government resources via an unsustainable health care system that is sucking up currently in excess of 40% of all provincial government spending.