Loonie on the rise

Canadian dollar hits more than 97 cents US

On Tuesday morning, the Loonie continued its rapid rise, reaching more than US97 cents. The dollar shot up roughly a cent on Thanksgiving Monday; as of 8 a.m. on Tuesday, it was trading at US97.18 cents. Some of that gain can be attributed to a weakened U.S. currency. But the Canadian dollar has also been strengthened, in recent weeks, by rising commodity prices. Canada’s abundance of natural resources makes the country particularly sensitive to changes in commodity pricing. The Canadian Loonie was last on par with the American dollar in September 2007; that marked the first time that the dollar’s reached parity in three decades. Some speculate that the U.S. dollar is losing its position as a worldwide reserve currency.

Vancouver Sun

CBC News