Exchange Rate History Canadian Dollar To Us Dollar
The exchange rate between the Canadian dollar and the US dollar has been a topic of interest for many years. The Canadian dollar, also known as the loonie, is the official currency of Canada, while the US dollar is the official currency of the United States. The exchange rate between these two currencies is important for trade, investment, and travel between the two countries.
Early History
The exchange rate between the Canadian dollar and the US dollar can be traced back to the early 1800s when both countries were still colonies of Great Britain. At that time, the exchange rate was fixed at par, meaning that one Canadian dollar was equal to one US dollar.
However, during the mid-1800s, the Canadian dollar began to depreciate in value due to economic issues in Canada. As a result, the exchange rate between the Canadian dollar and the US dollar began to fluctuate.
20th Century
During the 20th century, the exchange rate between the Canadian dollar and the US dollar continued to fluctuate. In the 1920s, the Canadian dollar was valued at around 95 US cents. However, during the Great Depression, the Canadian dollar depreciated significantly, reaching a low of around 71 US cents in 1931.
After World War II, the Canadian dollar began to appreciate in value, reaching a high of around $1.06 US in 1957. However, during the 1960s and 1970s, the Canadian dollar depreciated once again due to economic issues in Canada.
Recent History
In recent years, the exchange rate between the Canadian dollar and the US dollar has been relatively stable. In 2012, the Canadian dollar was valued at around 98 US cents. However, by 2016, the Canadian dollar had depreciated to around 75 US cents.
The exchange rate between the two currencies is influenced by a variety of factors, including economic growth, inflation rates, and interest rates. For example, when the Canadian economy is growing at a faster rate than the US economy, the Canadian dollar tends to appreciate in value relative to the US dollar.
Conclusion
The exchange rate between the Canadian dollar and the US dollar has a long and varied history. It is influenced by a variety of factors and can have a significant impact on trade, investment, and travel between the two countries. Understanding the exchange rate is important for anyone doing business or traveling between Canada and the United States.