The
Canadian dollar started the first week of May by incurring additional losses against its American counterpart, the U.S. dollar. Since Monday, the CAD has added another 0.77 percent of losses to April’s 2.5 percent decline against the USD.
And on Tuesday morning (11:30 a.m. EST), Canada’s currency traded at its lowest level vs. the greenback since February 25, 2016: 1.37575!
Tuesday's losses also mark an 8-day losing streak for the Canadian dollar, which has taken away approximately 1.75 percent of the CAD's value:
The current losing streak is one of the longest on record - second only to the 12-day losing streak in January of 2016 that pushed the USD/CAD rate to 1.4600.
Last month’s aggressive moves by the Trump administration on Canadian trade policy
weighted heavily on Canada’s currency, which hit a
14-month low on April 25th, after the U.S. Department of Commerce slapped a 20% tariff on Canadian softwood lumber imports into the United States.
But the CAD’s losses in the first two days of May are mainly a result of ongoing weakness in the energy markets, particularly the price of crude oil, which has fallen close to 3.5 percent since May 1, 2017.
Today, the price crude oil traded as low as $47.69 per barrel - lowest price since the end of March.
Torn Canadian flag photo by Graham Ballantyne AD: Have you heard about Bitcoin? Try Canada's best Bitcoin exchange here.
