Tradelines News

Get the latest news and updates on cross-border customs and international trade.

Canada’s Biggest Banks Say the Worst is to Come for the Canadian Dollar

Posted October 23, 2014

Under Economic Issues, International Trade Issues

(Ari Altstedter – Bloomberg)

The oil boom that powered Canada’s recovery from its 2009 recession is turning into a bust for the nation’s dollar.

Canada’s currency tumbled this month to a five-year low of C$1.1385 per U.S. dollar as the price of oil, the country’s biggest export, fell 30% from a June peak. Without a sustained increase in crude, the local dollar will weaken at least another 4% to C$1.18, according to Toronto-Dominion Bank and Royal Bank of Canada, the nation’s two biggest lenders. Read more here.