OTTAWA- The Canadian dollar continued its assault on the U.S. greenback, rising to 99.27 cents US by midday Wednesday, up 65 basis points.
The loonie was pushed closer to parity by rising oil prices and by the Federal Reserve Board’s decision Tuesday to keep rates there at record lows.
The dollar has risen almost five per cent over the past two and a half weeks as various economic indicators – housing sales and a recovery in employment among them – show the Canadian economy quickly recovering from recession. It has gained almost 30 per cent over the past year against the U.S. dollar.
Industry Minister Tony Clement told reporters Wednesday that Canadian companies are adjusting to the reality of a higher dollar by improving their productivity.
“What we’re seeing now with the higher dollar … is an increase in labour factor productivity in our country, the fact that companies are adjusting to a higher dollar and are looking at other means to increase their productivity and their competitive edge,” the minister said after a meeting of the Conservative caucus.
“I think the new normal is that you don’t just rely on a low Canadian dollar for your productivity edge,” Clement said, following similar remarks Tuesday from Finance Minister Jim Flaherty.
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No more Amazon.ca for awhile. Strictly Amazon.com.
The prices are far more favourable since Amazon does not adjust its Canadian prices so frequently (nor does any book retailer)