In a risk-averse environment, the Canadian Dollar is likely to find it difficult to hold its ground against the US Dollar, in the opinion of economists at Commerzbank.
Limited CAD recovery potential against the USD
“The jitters on the financial markets led to increased risk aversion recently. In such an environment, it is difficult for the Canadian Dollar to hold its ground against the USD.”
“We have adjusted our forecasts, but continue to see limited CAD recovery potential in the medium term.”
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