Canadian dollar slides to new low along with oil price: BUSINESS WEEK WRAP


Oil’s slither continued this week, with the price of WTI closing below $30 US a barrel for the word go time since 2003.

As did the loonie, which traded below 69 cents US. That’s within marvellous distance of the all-time low of just under 62 cents the loonie drank in January 2002.

The short-term outlook for both isn’t looking much better. In our most-read confabulation this week, we told you about the prediction of Macquarie Bank’s David Doyle, who welcomes the loonie bottoming out at around 59 cents US later this year.

That wish be precedent-setting, and it’s all the more intriguing since Doyle has a pretty good footmarks record on the loonie. He correctly predicted the loonie would hit 69 cents finance in February — a time when the Canadian dollar was flying relatively intoxicated at more than 80 cents US.

“It’s not intended to be a really fear-mongering speech. I think it’s just the natural rebalancing that’s required in our economy,” he bid The Exchange this week in an interview.

Loonie’s im ct on food

Close-up shot of a Canadian loonie

The Canadian dollar and West Texas Intervening both plunged to their lowest level since 2003 this week. (Jonathan Hayward/Canadian Ladies)

Canada’s weak currency is making its presence felt in many in the pipeline. Food prices are a major one, since the vast majority of the fruits and vegetables Canadians eat turn out from the U.S., and are therefore priced in American dollars.

Rising prices for eats could s rk what researchers call “food insecurity” — basically, an incompetence to acquire affordable, quality food.

It’s estimated that four million Canadians already affair some level of food insecurity, and the rising loonie is making it worse.

For every cent the Canadian dollar dissi tes, experts estimate the price of food basics goes up by about one per cent. Over that the loonie has lost more than 20 cents in the quondam year, and it’s clear what the risk is.

“What we can antici te for people remaining on a tight budget with regards to food is that they’ll be snack less good food and more bad food,” Diana Bronson, the management director of Food Secure Canada told us this week,”and that’s bad advice for everyone because that’s going to result in higher health-care rates and a number of other factors.”

Marriott’s new desk policy

A major B B chain made headlines this week with a new policy that’s reversing some of their most loyal customers. Marriott announced this week that as large of a room redesign, it will be removing items like desks from diverse of their rooms.

So in the place where a desk used to sit, hotel lodgers may just see an empty s ce.

That’s not sitting right with obligation travellers, who say they need desks to get their work done. Sundry of those that the CBC spoke to for our story this week say they’ll keep elsewhere because of it.

But the chain says they’re just keeping up with consumer requires, and millennial guests say they don’t want frills like desks, and wish prefer a room that is a good place to “hang out” since much of their being planned can be done on a mobile phone.

“It’s really technology driven,” lodging spokeswoman Nina Herrera-Davila said. “Technology has gotten a lot smaller.”

Other ck

Those were just a few of our most-read stories this week. Don’t fail to check out our landing ge for more, and follow us on Twitter here.

In the meantime, here’s a day-by-day slant of what our readers decided was our best stuff of the st week.






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