Loonie Falls To Lowest Level In More Than 20 Years

The Canadian dollar is now trading at its lowest level against the U.S. currency since 2003. The Loonie, as the Canadian dollar is known, has fallen sharply against the greenback after U.S. President Donald Trump announced 25% tariffs on most imports from Canada.The Canadian dollar is currently trading for 68.13 cents U.S., its lowest level against the U.S. dollar since 2003. Canada’s currency has been steadily declining as the U.S. dollar has strengthened in the months since Trump won re-election last November. Over the weekend, Trump announced that the U.S. would impose tariffs of 25% on most Canadian goods, and a 10% tariff on Canada’s oil and natural gas imports, starting Feb. 4.Canada has responded by announcing retaliatory tariffs on up to $155 billion of U.S. imports.The prospect of a full-blown trade war between the U.S. and Canada has pushed the Canadian dollar downwards, and it is now sitting at its lowest level in 21 years. The latest decrease in the Loonie comes as the U.S. dollar continues to strengthen against a basket of foreign currencies that also includes the Euro and the Japanese Yen.