Expert: Steven Taylor - 4/14/2005

Question
Hi Mr. Taylor,

I know you specialize in stocks, but I have a simple question that maybe you can answer.  Is there any reason to believe that the canadian dollar will increase its value against the US $ in the upcoming months?  Was the highest that it will ever hit the few months ago when it was above 83 cents?  Thanks. I appreciate your time and opinion.

Answer
Hello Thomas. I am not an expert on currencies, so I don't know how much help I can be with your question. I personally feel that the US dollar is going to trade around the current rate for awhile, but anything can happen. Since the currency market is very volatile and tends to react to world geopolitical and economic factors, it is very difficult to predict where things are going. That is why the Forex market is such a difficult market to make money.

In terms of the historic highs, the Canadian dollar was, for quite some time, worth more than the US dollar. Since November 26, 1976, the US dollar has been worth more than the Canadian dollar and I don't see that changing any time soon.

Hope this helps,

Steve Taylor