Looks like the Canadian Dollar has been eating its Wheaties.
A strong Canadian Dollar does not bode well for Canadian manufacturers already struggling with lack of orders for end products, tight credit, and a depressed global economy.
A report by Statistics Canada showed economic activity contracted for the ninth consecutive month in April, while the trade deficit rose to a record-high of C$1.42B in May, driven by a 6.9%% drop in exports. The restructuring of the automotive industry accounted for more than half of the decrease in exports and imports according to Statcan.
Is the expected nascent recovery of automotive driving this runup?
How will Loonie Dollar parity affect your contract machining operation?