Canadian currency rises with CPI
The loonie has risen for two consecutive days after the government reported that inflation is unexpectedly increasing. The faster than anticipated inflation is helping ease the pressure on the Bank of Canada to revive the economy's growth. The Canadian dollar strengthened as much as 0.4% bringing the currency exchange rate to CAD1.1274, up from CAD1.1318 yesterday against the US dollar.
The annual consumer price index also reported good news with a 0.7% increase from the previous month. The reported increases in inflation and the CPI show signs that the economy is recovering, and that the Bank of Canada may raise interest rates in future.
Click here for the best currency exchange rates.
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.