November 28, 2024
Yahoo Finance: Trump's tariff threat will keep loonie under pressure in 'new era of trade uncertainty'
“The president-elect’s broadside comes after a distinct dimming in the Canadian dollar’s prospects," Corpay chief market strategist Karl Schamotta wrote in a research note. "Elevated household borrowing costs, cool labour markets, lacklustre consumer spending, soft commodity prices, and weak business investment were already pushing the dollar exchange rate towards a four-year low, and a sustained rise in implied volatility could magnify the damage, putting the $1.43 threshold in scope before year-end." However "investors don't expect Trump to follow through." … “The Canadian dollar seems poised for modest reversal to the upside once traders assess the situation from a more nuanced perspective."