# Posthaste: The loonie is soaring above forecasts and come Wednesday could fly even higher - Financial Post

> The Canadian dollar has climbed about 4% since its federal-election low of 78 cents, reaching roughly 81 cents. Money markets now expect the first rate increase by April and nearly 100 basis points of tightening next year. Inflation was 4.4% in September, and WTI crude traded near $83.76 a barrel.

- Date: 2021-10-25 · published 2021-10-25T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/44824-posthaste-the-loonie-is-soaring-above-forecasts-and-come-wednesday-could-fly
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

Expectations of aggressive Bank of Canada tightening are supporting the loonie independently of the U.S. dollar. Stronger Canadian interest rates and firm oil prices both tend to lower USD/CAD.

## Read by commodity

- WTI: bullish ▲
- USDCAD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2021-02-26 | [Posthaste: Why the high-flying loonie could soar to 84 cents this year - Financial Post](https://feedsoft.ai/events/48893-posthaste-why-the-high-flying-loonie-could-soar-to-84-cents-this-year-financial.md) | +0.6% | -7.8% |
| WTI | 2017-12-29 | [Who knew? The loonie is on track for its biggest yearly gain in eight years - Financial Post](https://feedsoft.ai/events/67693-who-knew-the-loonie-is-on-track-for-its-biggest-yearly-gain-in-eight-years.md) | +2.7% | +9.7% |
| WTI | 2021-12-16 | [Posthaste: The loonie's not done yet. BofA sees Canadian dollar at 83 cents next year - Financial Post](https://feedsoft.ai/events/43859-posthaste-the-loonie-s-not-done-yet-bofa-sees-canadian-dollar-at-83-cents-next.md) | +2.7% | +15.7% |
| WTI | 2020-12-04 | [Canadian dollar forecasts shift higher as Ottawa pads economic support \| Financial Post](https://feedsoft.ai/events/49872-canadian-dollar-forecasts-shift-higher-as-ottawa-pads-economic-support.md) | +2.5% | +4.1% |
| WTI | 2023-05-26 | [C$ posts weekly decline as investors eye higher U.S. rates \| Financial Post](https://feedsoft.ai/events/36184-c-posts-weekly-decline-as-investors-eye-higher-u-s-rates-financial-post.md) | +0.0% | -3.6% |

## Sources

- financialpost.com: https://financialpost.com/news/posthaste-the-loonie-is-beating-forecasts-and-after-wednesday-could-fly-even-higher/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.