The Canadian dollar charged closer to $1.03 US Thursday as it benefited from higher commodity prices, a bigger trade surplus and a U.S. greenback sliding ever lower
While this might be exciting news for most Canadian citizens, it is not exactly great news for Canada in a whole. The one thing i want to point out about this is that even though the Canadian dollar is rising, the American dollar is falling at a higher pace. The problem I see in this situation, is it the American economy completely falls, not only is the US in trouble, but Canada is as well. The main reason for this being that Canada's economy relies so heavily on the US economy, in fact, about 50% of our exports go to the US - if the US economy crashes, we will have a hard time making up the 50% of exports.
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2 comments:
The loonie just keeps on climbing, it's amazing.
I can't decide whether or not our economy is just going to nose-dive.
The only reason we're going up, is because their economy is going down. I think Ontario's housing market is going to collapse soon, and then rebuild again.
I think this is magnificent, our economy is building as America is losing its grip as a world power. Though like Joel said, it isn't sealed that our economy won't nose dive, we are doing very well as a country and especially with the bounty of fresh water here, i can only see it going higher
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