The Canadian Dollar Goes Up Against The Euro – And Loses
October was certainly a rocky month for the Canadian dollar and it tried to take on the Euro without success. The 1st October saw a closing rate of 0.6409 to get the month started on, but a day later the dollar had lost more than a cent already, leaving it on 0.6306 at the close of play.
It was back up to a healthier 0.6432 on the 7th though, so from there we thought it could be back in play and ready to challenge the Euro to a good run for the rest of the month. How wrong we were.
There was good news to come first though, as the Canadian dollar rounded off that week on a much better 0.6494 – and the following week went even better. By the end of the 12th the Canadian dollar was up to 0.6558 and it looked as if the Euro was on the ropes. The trouble was that it bounced back off those ropes to give the Canadian dollar something to think about – and by the close of play that week it was back to 0.6469.
This would prove to be the turning point for the month as a whole. Quite often you can look back over a period of time and – with the aid of hindsight – you can spot the moment at which the period of time turned to give the result you see now.
And this proved to be the case here. After a couple of minor improvements over the first two days of the next week, Wednesday saw the Canadian currency fall back to 0.6347. If you were keeping track on your currency converter you would already have gone beyond the point of getting the best exchange rate for the month, such was the downhill slope we were about to hit.
A brief rally that Thursday was not enough to cause a good end to the week, which turned out to close on 0.6326. The following Monday saw another drop and the dollar found itself stalling on 0.6300. As it turned out the rest of the month would all go the way of the Euro, as the last exchange rate on the final day of trading was 0.6268.
So it wasn’t the best month for the Canadian dollar, having gone from a high at one point of 0.6558 on the 12th to a low of 0.6268 right at the close of the month. The question now is whether it will continue to drop as November gets underway, or whether it will be able to reap back some of its losses.
The Euro certainly looked to be in fine form though, never really getting troubled to any great extent by the Canadian currency. But as we know things do have a habit of changing, and this could well be borne out once again as we go into a fresh month. It remains to be seen whether the Canadian dollar or the Euro will win next time around.
