C$ rallies along with stocks; BoC decision due Wednesday

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The Canadian dollar strengthened against its U.S. counterpart on Monday as stock markets globally climbed and ahead of an interest rate decision this week from the Bank of Canada, with the loonie recovering from a 10-day low on Friday.

FILE PHOTO: A Canadian dollar coin, commonly known as the"Loonie", is pictured in this illustration picture taken in Toronto, January 23, 2015. REUTERS/Mark Blinch /File Photo

Canada runs a current account deficit and is a major exporter of commodities, so the loonie tends to sensitive to the global flow of trade and capital. Speculators have cut their bearish bets on the Canadian dollar for the third straight week, data from the U.S. Commodity Futures Trading Commission showed on Friday. As of July 7, net short positions had decreased to 16,818 contracts from 20,519 in the prior week.

On Friday, data showed that the economy added nearly one million jobs in June as firms reopened following closures triggered by COVID-19.

 

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Let me get that maple syrup eh!

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