Canadian Dollar

[Papi Chulo]

The loonie was up again yesterday to about 92.39 maybe in the next couple months it will be worth more than the US$

How is this affecting the economy??? I don't see any positives to a high dollar, other than for travel.. and shopping on Ebay

It cannot be good for exports, manufacturing, tourism or the movie industry

It seems that it is not just our dollar that is up as our dollar is trading at the same levels as about a year ago against a number of other currencies.

is it time to open a US$ savings account??

 

[papasmerf]

In the short term a 12 month US CD might bring a fair return. After the 2008 election the pendulum will swing back.

 

[stang]

The fuckers will jack interest rates now.

 

[Malibook]

The BOC is more likely not to hike interest rates now even if there are growing signs of inflation.
They may still raise interest rates but a higher dollar should at least slow them down.

 

[Mr. Dajodo]

I don't think it's our $ going up as much as it's the U.S. $ falling down.

You would think prices here in the stores would now drop a bit.

Don't count on that happening. Importers and distributors will just pocket the difference.

U.S truckers are coming up here with U.S. product but going home empty without our goods now because of the exchange.

I think interest rates will go up slightly.

High dollar or low dollar we get fucked either way.

 

[enduser1]

High dollar or low dollar we get fucked either way.

Right on Dude!!!!!

 

[oldjones]

Don't expect prices here to drop until the importers have disposed of inventory they bough awhile ago when it took a dollar and a bunch of our money to buya US buck.

 

[Gyaos]

In the short term a 12 month US CD might bring a fair return. After the 2008 election the pendulum will swing back.

Yeah, right. 5%. A fair return? That's a ziltch return. That means in 1 year you get $5.00 for every $100.00. That's in one (1) year, not every day. You can collect cans for a better return. While a "currency" is designed to drop down to a $0.00 value equivalent anyway. Savings is by far the worst investment anyone can get into.

What you are seeing is a George W. Bush Jr. prick way of trying to get the Mexican Peso at 10.00, the CAD at $1.00 and the USD at $1.00 all at the same time to try and create the Amero. Something no one outside of criminal politics wants.

Jon Conyers will impeach Bush Jr., Dickhead Cheney and Alberto Gonzales before that happens.

Gyaos Baltar (Vice President of Caprica and THE KING of Finance)!!

 

[jjkrszd]

Par

The loonie was up again yesterday to about 92.39 maybe in the next couple months it will be worth more than the US$

How is this affecting the economy??? I don't see any positives to a high dollar, other than for travel.. and shopping on Ebay

It cannot be good for exports, manufacturing, tourism or the movie industry

It seems that it is not just our dollar that is up as our dollar is trading at the same levels as about a year ago against a number of other currencies.

is it time to open a US$ savings account??

good luck ontario if dollar goes par. eveyone from new york to chicago will be up here selling everything from combs to socks. no unions in the US, and/or US companies have much manufactured in china. with our union labour rates and tax rates we will be wiped off the economic map. may be time to let manifest destiny take us into the fold. we might look ok under the stars and stripes.

 

[fuji]

good luck ontario if dollar goes par. eveyone from new york to chicago will be up here selling everything from combs to socks. no unions in the US, and/or US companies have much manufactured in china. with our union labour rates and tax rates we will be wiped off the economic map. may be time to let manifest destiny take us into the fold. we might look ok under the stars and stripes.

Nah, because Quebec will be in even worse shape, and between the two of us, Quebec on Ontario, we have enough votes to steal Alberta's oil revenues. We'll even get an Albertan Prime Minister to do it for us.

 

[blackdog]

Anything over a 90 cent dollar kills my business. I had worked booked for 3 months. Now they have all gone to South America and Eastern Europe. Im praying that the U.S. dollar gets its legs again.

 

[girlyboy]

The fuckers will jack interest rates now.

higher interest rates would mean a stronger CAD

 

[Moraff]

higher CAD is good for importers and tourists heading to the states.

But it's bad for exporters and manufacturers. My boss was telling me that there's a lot more US manf. interest in our markets these days which is not too good.

Much as I like the higher dollar personally (that tourist thing), I think for Canada (in general) it's not a good thing.

 

[kk56]

obviously paying in TO for girls professional services for americans is more expensive, we have to work more home...for the privilege to be in TO...

 

[Meister]

The fallout from the high CAD is going to get worse, much worse. Many manufacturers are still absorbing losses and may have some forwards to tie them over, but that is running out. Windsor for example, which supplies a lot for Detroit Auto is in major crisis.

I think the Americans are perfectly happy with the status quo low US $ because of high profits for American exporters, cheap imports due to fixed Asian rates.

 

[21pro]

the Canadian Dollar isn't really up that much globally... just as compared to the US.

it will kill any appreciation in the real estate market. though, it will benefit realtors. especially in the GTA if the results filter into fragile markets like Brampton, Oshawa, Hamilton, Oakville, etc..
interest rates will likely slowly raise.
global investment in Canada will continue to rise.
international takeover of Canadian firms will continue. also, more publicly traded Canadian stocks will go private.
it's not good for forestry, manufacturing, etc..
it can be good for wheat as Canada is now the biggest supplier of wheat to India and wheat prices are on the increase.
it can be good for retail, and possibly technology.

 

[sirak]

Which direction is the Canadian Dollar headed you asked? Well that depends on what the US (the Feds) will do to curtail the rising sign of Hyperinflation in the US. In General, the US economy is driven mostly by consumption and not comptetive production; i.e 2/3 of the GDP is generated via a direct consumption facilitated by a rising, unsustainable, debt driven standard of living. How you say? Well, up to now the US can buy anything it wants from anyone with the US dollar by simply printing it through their wild and abundant corporate/consumer credit system.

In theory the US can consume and consume for ever provided that foreigner suppliers are content with the fact the paper money they are getting paid with is good enough to be reinvested here in the US as well as some places else. But that is changing quickly as the dollar loses its respect do to the fact that their is to much of it out there... So what is next, well the Feds have two terrible choices...

First, they can tighten the money supply which will have an immediated and direct impact on the US economy vis a vie less consumption reducing corporate profits, stock market contraction and the over all wealth of the nation itself, followed by a global recession as the bulk of foriegn GDP growth is fueled solely via the US consumer.

The other choice is to inflat an inflat until foreign suppliers refuse to take the dollar or there is little or no assets left to buy & sell here in US. At which point the dollar becomes worthless and so is the global reserve that every country holds ( about 80% of the USD is out side of the country)...

As you can see both choices have serious consequences and will lead to the contraction of the canadian economy. The Canadian dollar will continue to move upwards against the dollar ( as is the case for every major currecny) upto the point where it becomes par. After that what happens is the most intriguing one as the USD ceases to be the reserve currency of the world and what you will have is another currency ( EURO?) emerging as the de-facto choice of reserve. And the cycle of universal fiat currency will play itself out all over again.

So to summerize, the Canadian Dollar will rise up and up until one of the two thing happen, either the US dollar collapses or the US dollar collapses. Either way the canadian central bank will be forced to reduced the interest rate to incourage domestic consumption to off set the balance of fast disappearing US market.

 

[21pro]

This year, the loonie has gained against the British pound, the euro, the Mexican peso, the Swedish krona, the Costa Rican colon, the Israeli shekel, the New Zealand and Australian dollars, the Russian ruble, the Malaysian ringgit, the Bolivian boliviano, the Polish zloty

Investing:
Home Depot, we'll say. Its shares have fallen 11 per cent over the past five years. But in Canadian-dollar terms, they're 37 per cent cheaper. And the loonie's appreciation coincides with a rare period in which equities in many parts of the world actually look less expensive than in Canada.

 

[tboy]

I love all the doom and gloomers out there. I think many forget that for many years, the Canadian Dollar was worth more than the US and we did fine.

I also love it how not long ago many were reporting "recession" and crying over it. Now you're crying because our economy is strong....sheesh...why not just eat a bullet and quite fucking complaining?

 

[Serpent]

I think many forget that for many years, the Canadian Dollar was worth more than the US and we did fine.

When was this??