# Loonie hits nearly three-month high on expectations of new NAFTA deal - CastanetKamloops.net

> The loonie hit a nearly three-month high against the U.S. dollar after markets expected Canada to reach a trade deal with the U.S. and Mexico. The U.S. dropped a five-year sunset clause from the Mexico deal in favour of a 16-year term. Trump threatened 25 per cent tariffs on auto imports, which analysts read as pressure tactics.

- Date: 2018-08-29 · published 2018-08-29T12:00:00.000Z
- Category: trade · region Canada · magnitude medium
- Page: https://feedsoft.ai/events/63773-loonie-hits-nearly-three-month-high-on-expectations-of-new-nafta-deal
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

Expectations of a NAFTA deal are lifting the loonie and reducing the risk of tariffs on North American agricultural trade. A deal would lower USDCAD and reduce uncertainty for feed and grain flows across the border.

## Read by commodity

- USDCAD: bearish ▼

## Sources

- castanetkamloops.net: https://www.castanetkamloops.net/news/Kamloops/289794/Loonie-hits-nearly-three-month-high-on-expectations-of-new-NAFTA-deal

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