The Canadian dollar has been rising continuously over the past 7 days. Yesterday, the Loonie traded for 81.34 cents US, which is the highest level since February 2018. Economists describe the price range as being in a “sweet spot’ as it benefits consumers but does not negatively impact businesses.
Canadians buy a lot of imported products through the state requiring exchange rates. This means Canadians will save some money buying US products. With e-commerce becoming more popular, Canadians could more often look at US companies while shopping online, says BMO Financial Group chief economist Douglas Porter.
He also explains the reason for the increase in the Canadian dollar as it is linked to the pandemic. Canada has a range of exports that “are at record highs”, commodities such as lumber have been driving up the dollar.
Learn more about this article from the source by clicking HERE