The effects of our rising Canadian Dollar

Financial experts are saying that even with the Canadian dollar hitting par with the US, it may not slow down the inevitable rate increases that are planned by the Bank of Canada later this summer.

David Rosenberg, chief economist at Gluskin Sheff + Associates says "The Bank of Canada has had ample opportunity to talk the money markets out of pricing in a series of interest rate hikes beginning this summer,"

A strong dollar, which slows down our domestic trade to the US is supposed to slow our economic recovery by keeping inflation below the target 2% rate, thus keeping interest rates low. I guess we will have to wait and see.

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