Canadian Dollar Enjoys Gains At Last
We say ‘just’ because if you look at the relevant graphs against various other currencies you will see that the upward swing has only just occurred. But if you read this news story from the Bloomberg website, you will see that the hope is that this is not just a blip. It could be much more than that if the Canadian dollar is set to start making a comeback. Read the story here.
So what has been happening then for the Canadian dollar of late? Well, let’s take a look at its performance against the British pound first of all, and see what kind of figures it has been returning on the currency converter since May. It kicked off May with an exchange rate of 0.5659 against the British pound, and that had climbed to 0.5716 just one week later. When the following week got underway there was clearly room for improvement there too, as it hit 0.5732.
So with these reasonable results, what happened?
Well even though things look good between those few days, the general trend was still down. By the time the 22nd May was reached we were looking at an exchange rate of 0.5577 against the pound. And things got much lower than that as well. The week ending the 13th June certainly was unlucky, as the Canadian dollar could only muster up an exchange rate of 0.5435 by then. Clearly things were indeed going down.
And by the end of that month there were worse figures still for the Canadians to contemplate. The final figure on the 26th of that month was 0.5283 – some four and a half cents lower than the highest figure we had looked at above.
The week ending the 3rd July finished up on 0.5284 overall. But after that there were some signs of improvement. By the 8th the Canadian dollar was up to 0.5337, and on the 13th July that had increased still more to 0.5343. Here’s hoping the trend will indeed continue.
But what about its performance in those last few days against the US dollar? This currency is performing better than the British pound at the moment, so how would the Canadian dollar fare here?
It had kicked off the month of June on 0.9235, so there was a lot to lose there. And from there the Canadian dollar had actually lost out on quite a lot, as it fell back to finish on 0.8574 on the week ending the 10th July. This seemed to be bad news so far as we can tell, but if you look at the figure for Monday 13th July, you will see why the gains made on that day were the cause for the news story to be run. That was when the Canadian dollar started to pick up its bootstraps and made an improvement to 0.8605. They are clearly hoping this will continue as well.
Now let’s pick another random currency – the New Zealand dollar – to see what happened there. This was more noticeable in terms of the ups and downs. After kicking off the month of June on 1.4809, the Canadian dollar then started to lose traction. It fell all the way down to 1.3306 by the end of that month, losing an incredible fifteen cents in the process.
But that would prove to be rock bottom during this time period. Even the following day, as July got started, the exchange rate bounced up to 1.3570. It ended up finishing on the 10th July on 1.3724, before starting off the next week on 1.3798 by the close of play on Monday.
So it would seem that the Canadian currency is having something of a renewed vigour. You can see it more clearly against some currencies than others – the Kiwi dollar being the prime example of course – but it is good to see that vigour is there at all.
Hopefully it will reach the stage where we can enjoy even better figures from the Canadian dollar. It certainly seems as if the improvements have only just begun, so it will be interesting to see where things go from here. If they do improve then it would seem that we are just seeing the beginning. So let’s see what happens next.