What The Canadian, Australian, And New Zealand Dollars Are Saying About The World Economy
A simple, but telling chart from
Yilin Nie in the latest Morgan
Stanley FX Pulse.
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Morgan Stanley
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The Canadian Dollar has been outperforming both the Aussie Dollar and The New Zealand Dollar lately.
And if you think about it, this is a nice currency proxy for the US vs. China. Canada thrives of a healthy US economy the way the Australia and New Zealand thrive off a healthy China. This outperformancy by the Loonie is a nice sign that optimism for the US is ahead of optimism for China at the moment.
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