Reported 7 months ago
The Canadian dollar fell close to its lowest level of the year, trading at C$1.4165 against the US dollar, as rising unemployment fueled speculation for a significant interest rate cut by the Bank of Canada. Bond yields also decreased, with expectations for a 50-basis-point cut on Dec. 11 now at about 80%. The jobless rate rose to 6.8% in November, leading economists to predict that the central bank will lower its overnight lending rate to 3.25%. The outlook for the loonie remains bearish as traders hold substantial short positions on the currency.
Source: YAHOO