Home » CAD » Exchange Rate News for Canadian Dollar: Poor building permits data causes ‘Loonie’ to drop

Exchange Rate News for Canadian Dollar: Poor building permits data causes ‘Loonie’ to drop

Canadian Dollars

The Canadian Dollar Exchange Rate was in the region of 1.0029 against the US Dollar as of 15:47 pm

Before American markets opened today the ‘Loonie’ was at a two week high against its US counterpart, but European developments and home-grown news caused the Canadian currency to shed its modest gains.

After safe-haven assets were boosted by renewed concerns regarding the potentially dangerous strength of the Euro the Canadian Dollar dropped against several if its most traded currency rivals.

ECB President Mario Draghi’s comments regarding the importance of the exchange rate to Eurozone growth and price stability led investors to believe that the central bank was concerned about the current strength of the common currency, causing investors to abandon the Euro in favour of less risky assets, including the US Dollar and Japanese Yen.

The ‘Loonie’ was also pushed lower after data compiled by Statistics Canada revealed that the number of new building permits issued in December was down by a seasonally adjusted 11.2 per cent from November’s positively revised 14.5 per cent fall. This marks a second consecutive month of declines and goes against industry expectations for an increase of 5 per cent.

After the news was made public Senior Vice-President of US Forex Ltd John Curran asserted: ‘While the Canadian Dollar strengthened overnight, we’ve come off since those building permits numbers were extremely poor. But the real occurrence is going to be tomorrow’s unemployment data, that’s what everyone’s waiting on.’

With Canadian housing starts, employment change, employment participation and unemployment rate data all scheduled for release tomorrow afternoon significant ‘Loonie’ movement can be expected. The Canadian Dollar could also be influenced by US trade balance statistics.

Current Canadian Dollar Exchange Rates

The Canadian Dollar to Euro exchange rate is currently trading at 0.7480

The Canadian Dollar to Pound Sterling exchange rate is currently trading at 0.6388

The Canadian Dollar to US Dollar exchange rate is currently trading at 1.0029

The Canadian Dollar to Australian Dollar exchange rate is currently trading at 0.9721

The Canadian Dollar to New Zealand Dollar exchange rate is currently trading at 1.1901

The Canadian Dollar to Emirati Dirham exchange rate is currently trading at 3.6815

The Canadian Dollar to Swiss Franc is currently trading at 0.9191

The Canadian Dollar to Japanese Yen exchange rate is currently trading at 93.7306

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