Last Updated: Wednesday, November 7, 2007 8:38 AM ET
CBC News
The Canadian dollar continued its lofty flight as it passed $1.10 US on Wednesday while the U.S. dollar continued to weaken.
Shortly after the start of trading in North America, the loonie was up more than 1.75 cents at $1.1027 US.
The U.S. dollar continued to lose ground against other currencies. The greenback fell to another record low of $1.4703 US against the euro, while the British pound hit $2.1051 US, a level not seen since since May 1981.
Higher oil prices also helped propel the Canadian dollar. The December futures contract for light sweet crude was up $1.27 US at $97.97 US per barrel.
Gold also shot higher Wednesday, gaining almost $22 US to hit $845.30 US an ounce.
The latest of advance of the loonie will most likely send economists back to the drawing board to redo their forecasts for the dollar. The currency has appreciated much faster than many observers had been expecting.
The Canadian dollar regained parity with the U.S. greenback in September. The loonie has been setting new records since Oct. 31, when it surpassed its previous modern-day high of $1.0614, which dated back to August 1957.
1 comment:
Somehow we are going to pay for this big time in the long run. The American economy gets stronger and ours goes in the toilet... It's what the US has planned and wants. When we are weak enough and can't defend ourselves we will have to sell out to them and give up our natural resources.
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