Loonie Plummets as Canada-U.S. Trade Talks Collapse

The Canadian dollar experienced a significant decline on Monday following the breakdown of trade negotiations between Canada and the United States. The loonie dropped to US$0.7224, or US$1=C$1.3842, compared to its previous value of US$0.7267 or US$1=US$1.3760 on Friday.

The trade talks had stalled after Canada withdrew due to concerns over the U.S.'s proposed changes, which would have negatively impacted Canada's economy and sovereignty. As a result, 50% tariffs were imposed on some Canadian goods on Saturday.

Despite the failed negotiations, the TSX/S&P Composite Index managed to gain 93.89 points at 36,714.12. However, crude oil prices took a hit due to available supplies, with West Texas Intermediate declining US$2.10 per barrel to US$84.96 and Brent crude oil retreating US$2.39/barrel to US$92.00.