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Roll call: DETROIT ELECTRONIC MUSIC FESTIVAL! (pg. 2)
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| The Highroller |
| quote: | Loonie nears 30-year high
TAVIA GRANT
Globe and Mail Update
May 18, 2007 at 11:34 AM EDT
The Canadian dollar hit its highest intraday level in almost three decades Friday, and many strategists believe the currency has further to go.
The loonie touched 91.85 cents (U.S.) on Friday after a much stronger-than-expected report on retail sales. Today's 1.1-per-cent gain made it the best performing major currency in the world against the U.S. dollar.
The last time the loonie was this strong was Oct. 11, 1977.
The currency's gained 7.2 per cent this year against its U.S. counterpart. Several factors have greased the currency's gain, among them strong economic data, a pickup in core inflation, increased merger-and-acquisition activity and rising commodity prices.
The Canadian dollar neared its highest level in nearly 30 years on Friday. (Reuters)
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Tuesday discussion: Andrew Pyle from Scotia McLeod on the loonie's flight
Retail sales fly past forecasts
Core inflation strongest in four years
“There really isn't much reason to be bearish about the Canadian dollar right now,” said David Watt, senior currency strategist at RBC Capital Markets. He sees the loonie strengthening to 92.50 cents in the third quarter of this quarter before retreating later this year.
He said Friday's move began in London, when traders got into the office and saw oil prices at a three-week high.
It extended gains after a retail sales report Friday more than doubled expectations, surging 1.9 per cent in March as Canadians bought more cars.
It was the second economic report in two days to top expectations. On Thursday, a report showed core inflation rose the most in four years, increasing the odds of higher interest rates in Canada. The rising cost of homes was the main reason for the increase.
A stronger loonie is welcome news for travellers heading south and a vote of confidence in Canada's economy. It spells more pain, however, for Canadian factories because it makes their goods more expensive when sold abroad. Manufacturers have cut 89,400 jobs over the past year.
The currency has now surpassed last May's high of 91.44 cents. Its latest ascent has reignited talk of parity.
Predictions that the currency will reach equal value with its U.S. counterpart surfaced last May too, when the loonie hit a 28-year high against the greenback. But the loonie subsequently eased and speculation subsided.
It's back now, however.
Economists at National Bank Financial, Bank of Montreal and Canadian Imperial Bank of Commerce have all mentioned the parity word in notes over the past week.
Last Friday, BMO said if the loonie continued at its current pace, it would reach parity by the autumn.
It cited five factors underpinning the loonie's recent gains: a weaker U.S. dollar, rising commodity prices, capital inflows stemming from mergers and acquisitions, changing market sentiment and a shift towards tightening by the hawkish Bank of Canada.
BMO doesn't, however, believe the currency will hit parity. In the research note last week, it said the currency “has run a little ahead of itself and is due for a modest pullback.” |
We're travelling to the states at a very good time folks! However, be prepared for long.as. lines at the border. |
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| Jem_hadar |
| quote: | Originally posted by The Highroller
We're travelling to the states at a very good time folks! . |
I actually meant to post that earlier today when I found out how close our dollar was, too.
Good job Grahamers. |
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| urban_legend |
| quote: | Originally posted by Jem_hadar
Hijinx? Oh, I'm ready.
And I hope *YOU'RE READY* for Jem drinking hijinx ;)
Not sure if you've ever properly bee thru the full on Jem Drunk experience before :D
and add TECHNO to the mix... oh gawd... hype it up 4 levels at least ;)
oh, and how many beads should I bring :toocool:
40? More? , decissions! |
depends on how many boobies you wanna see? Dont forget we are there for three days, 40 is only 13 average per day.
Drinking is my middle name sir, you are in for a surprise.
remember bring my lifeless body back over the border please for my family. |
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| shanny |
Detroit!
I will be there. |
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| Jem_hadar |
| quote: | Originally posted by shanny
Detroit!
I will be there. |
Very good news, ser! ^5 |
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| Skipper |
| quote: | Originally posted by shanny
Detroit!
I will be there. |
I was unaware you'd be going! |
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| magikb |
| quote: | Originally posted by Cribby
Who is this kid?
More like...
H O L Y F U C K ! ! ! ! ! ! ! ! |
you got that right.. I am sooooooo excited.
I was chatting with Vince earlier today about DEMF and then with the weekend finally here now.. just too much excitement for me. AHHHHHHH!
*jumps up and down and runs around the living room*
:crazy: |
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| Skipper |
ok kiddies, this time next week we are going to be neck deep in techno!
Hard to believe it's almost here after counting down for 6+ weeks. Not only that, I leave for europe only a week later - crazy month for me :D |
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| all-nite-freak |
mutek first...then i'll see how much gas i have left
i'm on a strict fun diet to see if i really can live longer |
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| Skipper |
| Mutek is after DEMF, so good luck with that ;) |
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| all-nite-freak |
opps...lol i should read before i post. Magikb said something about Liebing and my punch drunk(or just drunk) brain heard DEMF.
welp guess i'm missing it and Jenn I listen to you...i promise it was just that once. What is even more funny to me is that Detroit isn't TO no matter how much i hate both cities:p |
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