Forex News

Live Forex news from all over the world.

    Archives

Loonie Rides Higher on Back of Commodities’ Rally

December 10, 2013 at 22:27 by Vladimir Vyun

Canadian coins on Canadian dollar billsThe Canadian dollar advanced today with help of rising commodity prices. Loonie’s performance is strongly correlated to moves of prices for raw materials.

Futures for crude oil, the major Canadian export, rose as much as 1.21 percent to $98.52 per barrel in New York today. Copper rose 0.26 percent to $3.2665 per pound. The Standard & Poor’s GSCI Index of 24 commodities added 0.8 percent.

Raw materials and other risky assets were rising due to risk appetite created by talks about a banking union in Europe and speculations that the Federal Reserve will delay its stimulus tapering. Strangely enough, the Japanese yen was being one of the biggest victors during today’s session despite being a safe currency.

USD/CAD was down from 1.0624 to 1.0602, following the rally to 1.0644, while EUR/CAD fell from 1.4597 to 1.4591 as of 22:24 GMT today after reaching 1.4644 — the strongest rate since February 2010. Meanwhile, CAD/JPY edged lower from 97.14 to 96.91.

If you have any questions, comments, or opinions regarding the Canadian Dollar, feel free to post them using the commentary form below.

Leave a Reply

required
required  

Navigation

Menu