Canadian Dollar Drops — No Confidence for Geithner’s Plan

Loonie falls in FX trading

The Canadian dollar is down in forex trading on the currency market after the announcement of the bank rescue plan from Timothy Geithner. Indeed, it’s not just the U.S. dollar that has been affected by today’s announcement; the loonie has been negatively impacted as well in FX trading.

A great deal of the problem from the Canadian dollar is to do with confidence. Risk appetite has not really been increased, since there haven’t been any concrete details about how private investors are likely to benefit from this program.

As a result, the loonie, which relies heavily on equities, is down in FX trading.

See Also

• More on the Bank Rescue Plan
  Bailout for banks
• Loonie in FX Trading
  Forex trading on the currency market

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