# Canadian dollar forecasts shift higher as Ottawa pads economic support | Financial Post

> A Reuters poll of 30 currency strategists shows improved Canadian dollar forecasts, with the loonie expected to pull back to 1.30 in one month and strengthen to 1.2739 in a year. Strategists cite domestic stimulus, vaccine rollout and higher oil prices as tailwinds. Canada's budget deficit is forecast at a record C$382 billion.

- Date: 2020-12-04 · published 2020-12-04T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/49872-canadian-dollar-forecasts-shift-higher-as-ottawa-pads-economic-support
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

A stronger expected loonie and higher oil prices shift input and export pricing for Canadian commodities, while the record fiscal deficit signals sustained domestic demand support.

## Read by commodity

- WTI: bullish ▲
- USDCAD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2022-06-07 | [Canadian dollar hits a 7-week high as yield spreads widen \| Financial Post](https://feedsoft.ai/events/41183-canadian-dollar-hits-a-7-week-high-as-yield-spreads-widen-financial-post.md) | +2.1% | -15.8% |
| WTI | 2020-12-02 | [Canadian dollar notches a 2-year high on higher oil prices \| Financial Post](https://feedsoft.ai/events/49875-canadian-dollar-notches-a-2-year-high-on-higher-oil-prices-financial-post.md) | +2.4% | +8.4% |
| WTI | 2021-01-29 | [Canadian dollar rallies as economy grows faster than anticipated \| Financial Post](https://feedsoft.ai/events/49367-canadian-dollar-rallies-as-economy-grows-faster-than-anticipated-financial-post.md) | +7.5% | +17.7% |
| WTI | 2020-02-12 | [Canadian dollar climbs to one-week high as virus fears ebb \| Financial Post](https://feedsoft.ai/events/54807-canadian-dollar-climbs-to-one-week-high-as-virus-fears-ebb-financial-post.md) | +6.6% | -33.8% |
| WTI | 2020-10-08 | [Canadian dollar rallies on higher oil prices, U.S. stimulus hopes \| Financial Post](https://feedsoft.ai/events/50857-canadian-dollar-rallies-on-higher-oil-prices-u-s-stimulus-hopes-financial-post.md) | +2.7% | -2.1% |

## Sources

- financialpost.com: https://financialpost.com/pmn/business-pmn/canadian-dollar-forecasts-shift-higher-as-ottawa-pads-economic-support

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