Analysts expect the Canadian dollar to continue its record-setting performance from here on in. That's record-setting in terms of down, having hit a decade low last week when it lost a further 0.6 per cent.
It might help Canadian exporters sell their goods abroad and it could lure U.S. tourists to Canada. But the lower dollar will sting consumers, and that could slow the entire Canadian economy, says Douglas Porter, chief economist for the Bank of Montreal.
With the oil and gas industry in Alberta already suffering, the lower Canadian dollar isn't doing it any favours, says Michal Moore, a professor of energy economics at the University of Calgary's school of public policy.
TORONTO - U.S. stock markets appeared set to bounce back as the futures market pointed to a positive open. Markets took a beating on Monday after the Chinese stock market posted its biggest one-day drop since 2007.
The Canadian dollar dropped to below 77 cents against the U.S. dollar on Friday for the first time since March 2009. The Canadian dollar seesawed above and below the 77-cent level all day before closing at 77 cents US when stock markets closed.
The days of 2012 and 2013 when Canada's currency traded above par with the American greenback seem very long ago. And many believe the Canadian dollar has further to fall. "For the most part we think the Canadian dollar is going to have a lot of trouble.