Loonie Bulls? Sold To You!

Jon Economy

Remember back in May when all the hedge funds were short Canadian Dollars up the whazoo? At the time, I was worried the excessive pessimism might cause CAD to rally (Loonie Bears are the New Cool Kids). Well, since then, the Loonie has rallied 6.50% even in the face of a collapsing oil price and increased worries about the popping of the Canadian real estate bubble.
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This morning the Bank of Canada hiked rates, the first time since their 2010 early attempt to normalize rates in the aftermath of the Great Financial Crisis.

This post was published at Zero Hedge on Jul 12, 2017.