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famousringo on 09 October 2007
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NJ5 said:

My knowledge of economy is pretty crappy, but:

If I have heard it right, the Canadian dollar isn't rising... It's the American dollar which is falling, so why would that affect Canadian prices of things which aren't even manufactured in USA? Prices in USA should rise, but that's all, right?

 


 It's both, actually. The Canadian dollar is the third fastest growing currency in world markets this year, last I heard. Apparently, the market has come to associate the CAD with petroleum, so as long as oil prices keep going up, so will the Canadian dollar. It's choking off our manufacturing and export sectors, but at least we'll get a good price for our primary goods that the world can't do without.



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