Canada’s dollar advanced to the highest level since November as speculation the worst of the global economic crisis is over boosted the appeal of currencies that would benefit from renewed growth.
“Commodity currencies can continue to do well as we come out of the worst of the production-cycle downturn,” said Daniel Katzive, a senior currency strategist at Credit Suisse Group AG in New York. “We’re cautiously optimistic on the Canadian dollar.”
The Standard & Poor’s 500 Index rose 3.4 percent to 907.24 after its biggest monthly advance in nine years, as pending home resales in the U.S. unexpectedly rose. Canada’s dollar, a proxy for risk appetite, tends to track movements in equities.
The Canadian currency, known as the loonie, appreciated 1 percent to C$1.1734 per U.S. dollar
“Commodity currencies can continue to do well as we come out of the worst of the production-cycle downturn,” said Daniel Katzive, a senior currency strategist at Credit Suisse Group AG in New York. “We’re cautiously optimistic on the Canadian dollar.”
The Standard & Poor’s 500 Index rose 3.4 percent to 907.24 after its biggest monthly advance in nine years, as pending home resales in the U.S. unexpectedly rose. Canada’s dollar, a proxy for risk appetite, tends to track movements in equities.
The Canadian currency, known as the loonie, appreciated 1 percent to C$1.1734 per U.S. dollar
at 4:03 p.m. in Toronto, from C$1.1852 last week. It touched C$1.1733, the strongest level since Nov. 10. One Canadian dollar buys 85.22 U.S. cents. read more
