This Canadian Dollar report will examine the factors that could affect exchange rates in the short term to help you stay informed if you need to make a currency transfer. The table below shows the difference you would have received when buying £200,000 at the high compared to the low for the past month.

Currency Pair% ChangeDifference on £200,000
GBPCAD2.90%CAD $9820
Canadian Jobless market worsens

Canadian Dollar Strength Set to Continue

The GBP/CAD rate was once again resting below the 1.70 level, keeping the rate near to 1-month lows. Oil which is the main influencer for the Canadian Dollar nearly broke the 2 and a half year high as uncertainty in Iran played on investor's minds. The anti-Government rioting could have consequences further down the line and should Oil production become disrupted there could be a reduction in global production levels. Oil prices in 2018 could continue to creep which should help the Canadian Dollar continue to make gains against Sterling.

Canadian Data this week

On Friday the latest Unemployment Data will be released for Canada which is expected to show a slight decrease in the participation rate falling from 5.9% to 6.0%. After the two unexpected interest rate hikes from the Bank of Canada, good data could indicate further hikes are on their way. Stephen Poloz who is the Governor of the central bank, after the second hike last year said economic conditions will entirely dictate when the next hike will happen. Should there be a series of positive data then there could be optimism of hikes in 2018.

Considering the uncertainty surrounding Sterling with the Brexit talks the GBP/CAD could continue to move south, with the 1.65 level a real possibility once again. The last time the rate was at this level was the beginning of October, which means any clients looking to sell Canadian Dollars into Sterling could reach multi month highs. In the last month a well-timed transfer looking to buy Canadian Dollars could achieve you $9820 more when trading £200,000. If you’re looking to transfer funds in the near future with this currency pair make sure you’re in contact with your broker. By setting rate alerts in the market, we can make sure to notify you of a movement in your favour.

Thank you for reading today’s Canadian Dollar report, I would greatly appreciate any feedback you have and would take pleasure in replying personally. Feel free to e-mail me at lme@currencies.co.uk.

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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.