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|  | | October 06, 2008 | | Loonie set for a decline against the U.S. dollar in currency trading | The forex trading forecast is looking down for the Canadian dollar as
oil prices slip in commodities trading. The loonie is expected to fall
to the U.S. dollar in currency trading as a global economic slowdown
restricts demand for commodities around the world.
As a commodity
currency, this loss of support by the commodities market will force the
loonie lower in currency trading. Bloomberg reports on the forex trading forecast for the Canadian dollar:
Canada relies on commodities for about half its export revenue.
Crude accounts for 21 percent of the weighting in the Bank of Canada
Commodity Price Index, the largest single component.
The loonie, as Canada's currency is known because of the aquatic
bird on the one-dollar coin, will slip to C$1.13 against the U.S.
dollar by the end of 2009, according to the median forecast in a
Bloomberg News survey of economists.
| Topic Tags: commodity currencies, currencies, forex trading Canadian dollar, forex trading forecast, global economic slowdown, loonie currency trading, U.S. dollar currency trading | |
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