The Canadian Dollar, in a similar fashion to the Euro has been boosted against the Pound recently although this doesn’t paint the full picture of the currency’s health. Despite losses againt other currencies. The table below shows the range of exchange rates throughout the past month, displaying the difference in return you could have achieved when selling £200,000.00.

Currency Pair% ChangeDifference on £200,000
GBPCAD0.95%CAD $3272.19
The Loonie (CAD) has risen against Sterling owing to Sterling losses but CAD has also been losing value against most other major currency pairs recently.
Weakening commodity prices push CAD lower

US Crude Oil prices are now within a downward trend having dropped from around $75 per barrel a week ago down to the current levels of $67, and this has negatively impacted CAD’s value owing to the fact it’s a major export of Canada’s.

Being in the middle of a potential trade war initiated by the US isn’t helping sentiment towards the currency, and the ongoing NAFTA (North American Free Trade Agreement) is likely to weigh on the Loonie’s value for as long as takes to amend it in line with Donald Trump’s plans. Yesterday Trump once again reiterated his plans to potentially treat Mexico and Canada separately in the talks.

Moving forward I expect to see CAD continue to come under pressure owing to the many factors weighing on it at the moment.

Busy end to the week for CAD data

At 1.30pm tomorrow there is a raft of data due out of Canada that could result in movement for CAD exchange rates. Retail Sales (Month on Month) will give us an idea of the health of Canada’s high streets, and Inflation data will also be released at the same time.

The Bank of Canada (BoC) last hiked rates a week ago bringing the base rate up to 1.5%. If the BoC is going to continue its bullish monetary policy, a drop in inflation levels is likely to limit the chances of another hike in the short term future. If you wish to be updated regarding these releases, do feel free to get in touch.

For more information on how future data releases could affect your currency requirement, call our trading floor on 01494 725 353 or email me here.

Download our monthly currency forecast

Download here

News

Read more articles
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.