# Canadian dollar caught in ‘Trump trade’ dilemma - The Globe and Mail

> Strategists say the Canadian dollar is caught between relative bond yields, which have been the strongest driver of its value, and oil prices, which push in the opposite direction. The currency is overvalued on yields and undervalued on oil.

- Date: 2017-02-01 · published 2017-02-01T12:00:00.000Z
- Category: macro · region Canada · magnitude low
- Page: https://feedsoft.ai/events/72728-canadian-dollar-caught-in-trump-trade-dilemma-the-globe-and-mail
- Commodities: [Canadian Dollar (CAD per USD)](https://feedsoft.ai/c/USDCAD.md)

## Why it matters

The conflicting forces make the loonie's near-term direction hard to call, so currency-hedged Canadian feed purchases carry uncertain costs. Prices could swing either way on yield or oil moves.

## Sources

- theglobeandmail.com: https://www.theglobeandmail.com/globe-investor/inside-the-market/canadian-dollar-caught-in-trump-trade-dilemma/article33857745/

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