Canadian dollar continues to climb
USD/CAD has fallen to a fresh low on the day as the commodity currencies surge.
This is a market that’s suddenly feeling much better about the virus and not so great about the US dollar. With AUD and NZD you can make the case that the domestic economies are in good shape on the virus, that’s not so much the case for the loonie. Cases are still much lower than in the US but not at the point where people can live relatively fear-free like New Zealand.
I tend to think that the US is going towards a regime of massive stimulus spending and deficits along with protectionism that will leave NAFTA countries at an advantage. That bodes well for CAD but it’s tough to chase this move