Democratic Underground - Canada dollar hits highest level since late 1800s

http://www.reuters.com/article/bondsNews/idUSN3145647820071031

TORONTO, Oct 31 (Reuters) - The Canadian dollar raced to
its highest level since the late 1800s against the U.S.
currency on Wednesday, thanks to lofty oil prices and a weak
greenback after the U.S. Federal Reserve cut interest rates.

Domestic bond prices ended lower as economic data from both
Canada and the United States topped expectations while the Fed
signaled it may be done with rate cuts.

The Canadian dollar closed at US$1.0585, making a U.S.
dollar worth 94.47 Canadian cents, up from Tuesday's close of
US$1.0492, or 95.31 Canadian cents.

Shortly after the North American session ended, the red-hot
Canadian currency hit US$1.0617, or 94.19 Canadian cents, which
some market experts consider an all-time high, given the
drastic change in market conditions since the 1800s.

A publication called "A History of the Canadian dollar" is
published on the Bank of Canada's Web site at
http://www.bankofcanada.ca/en/dollar_book/ and shows the
Canadian dollar was valued at US$2.78 in the late 1800s.

"A good part of the move has just been related to the usual
suspects," said George Davis, chief technical strategist at RBC
Capital Markets. "Broad-based U.S. dollar weakness ahead of the
FOMC helped the Canadian dollar ... and obviously we also saw
commodity prices do very well today."

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