# Loonie's dip below 75 cents proves short-lived — and there might be more good news on the way | Financial Post

> The Canadian dollar briefly fell below 75 US cents on Wednesday for the first time since June, touching 74.85 cents before rallying to close near 75 cents. The rebound followed Fed Chair Jerome Powell's comment that U.S. rates were just below neutral, which weakened the US dollar.

- Date: 2018-11-28 · published 2018-11-28T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/62271-loonie-s-dip-below-75-cents-proves-short-lived-and-there-might-be-more-good
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A softer Fed tone weakens the dollar, which tends to support USD-priced commodities and improves export competitiveness for Canadian grain and oilseed sellers. The move is mainly a currency story with limited direct effect on feed grain prices.

## Read by commodity

- DXY: bearish ▼
- USDCAD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 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) | -1.1% | -3.1% |
| DXY | 2017-02-02 | [No joy from the Fed: What you need to know before markets open - Financial Post](https://feedsoft.ai/events/72400-no-joy-from-the-fed-what-you-need-to-know-before-markets-open-financial-post.md) | -0.2% | +0.4% |
| DXY | 2021-06-01 | [Dollar steadies, yuan slips after central bank moves to limit gains \| Financial Post](https://feedsoft.ai/events/46819-dollar-steadies-yuan-slips-after-central-bank-moves-to-limit-gains-financial.md) | -0.2% | +1.1% |
| DXY | 2022-11-01 | [Dollar droops amid improved risk mood before Fed; Aussie pares gain after RBA \| Financial Post](https://feedsoft.ai/events/38926-dollar-droops-amid-improved-risk-mood-before-fed-aussie-pares-gain-after-rba.md) | -1.0% | -3.2% |
| DXY | 2020-09-09 | [Forget oil – this is the commodity that will lead the loonie’s next moves - The Globe and Mail](https://feedsoft.ai/events/51353-forget-oil-this-is-the-commodity-that-will-lead-the-loonie-s-next-moves-the.md) | -0.7% | -0.2% |

## Sources

- financialpost.com: https://financialpost.com/investing/loonies-dip-below-75-cents-proves-short-lived-and-there-might-be-more-good-news-on-the-way

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