The Canadian dollar is at risk of falling to lows only seen during big economic shocks as forces once again line up against the currency, economists warn.
The Bank of Canada cut its interest rate by half a percentage point this month, widening the gap between it and the United States Federal Reserve, which puts pressure on the loonie.
The Fed made its own large cut in September, but the resilience of America’s economy since then has led to speculation that it won’t ease as much as expected, said Benjamin Reitzes, Canadian rates and macro strategist with BMO Capital Markets.
The Canadian economy, on the other hand, is showing no signs of momentum, suggesting that more rate cuts are to come.[…]
The current 125-basis-point spread between the two policy rates is the widest it’s been in at least two decades, and it could widen in months to come, putting more pressure on the Canadian dollar, said Ste-Marie.
Renegotiated USMCA is a $C risk.
Tariff regime is a $C risk.
Deflating oil / energy price is a $C risk.
Smart Gov of Canada would cozy up to USA not to China. We do not have a smart Gov of Canada.
Dear Leader and his loyal stenchmen will have us down to 40c USA before he is gone.
And his fellow travellers will tell us we are now all billionaires.
As a wheelbarrow of Trudeau Bucks will not buy an imported button.
But you will probably be shot by one of Justine’s People ,who wants your wheelbarrow.
Zimbabwe Mon!.
Notice how The Communist Bitch Club,CBC to yer friends,never mentions Venezuela anymore?
Three times now John, I guess someone does not like me referring to digital currency????
Apparently saying digital currency eliminates wheelbarrows is not allowed.
VOWG a digital currency requires electricity.
I have no confidence the electrical grid will survive Gang Green.
Without reliable power supply,the digital aspects of civilization are useless.
Heh,I know you know this.
And what shall be this digital unit of exchange?
Private?
Government?
Assuming we can either keep the lights on or power it with car batteries
I was attempting to point out that infinity is the number with digital currency. Of course as you say the government wants to eliminate electricity that of course is foolishness but hey they are trying.
Back to stone age eh.
We’ll be back to the barter system.
Just maybe…. a modest reduction in income tax coupled with… say cutting corporate taxes by a third would just about do it. That coupled with some modest austerity and flushing Trudeau and his grifters would have Canada up and about in…. 16 months or so.
But no… against all reason they’ll cut the rate first, expecting different results.
And returning the capitol gains tax to what it was before.
Got gold? Got silver?
AU, AG yeah that is subject to capital gains tax too.
That’s why you will need LOTS of a third metal – Pb. Some smartly-alloyed, carefully-tempered and keenly-sharpened Fe may prove useful as well.
Liberals reigning over wealth destruction.
This shouldn’t surprise anyone.
Dear leader is busy killing the economic engines of the nation. Please don’t distract him.
Meh, it’s Canada. We can just get a new hat.
/sarc
Very happy that I bought laddered GICs earlier this year.
The goal of economic collapse has been accelerated because Justin feels that his political position is being threatened by Poillievre, the Bloc is getting restless, and the alliance has shown wear like an old sock. As a communist, he cannot abide the thought that the revolution might not be successful this time and the vaunted title of Supreme Leader might be slipping away.
Expect the lying and destructive announcements, like the online harms bill, to pass effortlessly through the House to the detriment of all. We are on the edge of a totalitarian state. Justin is going for the final push so that he becomes ruler for life, and his children are programmed for the next generation.
It cost me $143.00 to get $100.00 American yesterday from my bank. Remember when our dollar was above par 10-ish years ago? Our buying power since then has effectively been cut in half. But with one in four Canadians on the government teat, the chance of a public outcry is next to nil.
I don’t recall it being above par since the 60s. I have seen us pay a 1.52 for a buck.
It was roughly at or above par for most of the Harper governments time in office.
In March 2007 and April 2011 $USD equalled about $.94 CAD. Guess who wasn’t PM?
Now it’s $1.39 CAD.
What happened, one month in 2007 and one month in2011? I was going to Florida every winter back 20 years and I never had U S D at a deficit to the Canadian dollar.
Aren’t we so happy about our post-national currency?
Sunny ways
PM Turd and Upper Level Commies don’t care.
They’ll live in luxury all their long lives.
Their children will as well.
Bingo.