Demand for Canadian securities took a dive in August, with today’s report showing a C$3.46B downturn in the foreign purchase of domestic stocks, bonds, and money-market assets. The move has so far taken a large bite out of the value of the Canadian dollar (CAD) in forex trading.
The Canadian economy has been teetering on an edge these past two weeks with highly optimistic housing data offsetting downturns in consumer spending and a global manufacturing slowdown. Today’s investment news underscores the loss of appeal for North American markets during this time of financial stress. The CAD will likely continue to take losses until other data can support renewed interest.
Read more forex trading news on our forex blog.