empty
 
 

21.01.201522:36:58UTC+00Canadian dollar plummets to 5 1/2-year low after rate cut

The Canadian dollar receded close to 2% to its lowest level for 5 ½ years following the Bank of Canada surprised financial markets Wednesday.

The central bank reduced its overnight rate to 0.75% from 1% as its insurance against the effect of lower oil prices on economic growth and inflation, as well as risks of a housing market downfall.

BOC’s move was its first since September 2010, concluding the longest period of unchanged rates in the country since 1950.

The loonie closed at C$1.2335 to the US dollar or 81.07 U.S. cents, from Tuesday's C$1.2107 or 82.60 US cents.

Earlier, the currency reached C$1.2420 or 80.52 US cents, its weakest since April 21, 2009. 

  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $6000 more!
    In December we raffle $6000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS


Can't speak right now?
Ask your question in the chat.
Widget callback