Rising Canadian Dollar!

[jaybird]

Maybe we can list some ideas on how to avoid exchanging currencies?

I'm thinking of buying a few big ticket items. (Dell Monitors, Aeron Chair etc.) Are there any ways to order items from the US and avoid being nailed for duties or customs when they hit the border?

It seems I would save in two ways by ordering from the US:

1. Items on US sites compared to Canadian sites are cheaper even with the exchange rate (Dell US has WAY better prices than Dell Canada for the exact same items).

2. Wouldnt have to deal with the currency change.

[lefty rosen]

If you buy off of Ebay, you can get a guy to say it's a gift or even tell him to open the package. Otherwise you won't be able to get around the duty, unless you set up a PO Box in a border city like a Buffalo.........

[Evan]

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just think whats going to happen if the canadian dollar equals or beats the american dollar

[/ QUOTE ]

Has anything Canadian ever equaled anything American?

[westmt01]

I'm not a currency expert per se, but my MBA concentration was International Finance (and I'm an investment analyst), so I guess I'm close.

My question for you is: why take currency bets? Yes it looks like the USD could drop further, especially if Bush wins the election (which Electoral Vote projections are starting to show that he will). And while current PM Paul Martin did a great job as Finance Minister, his minority government isn't likely to stay together for too long - and if there's one thing markets (including currency markets) don't like, it's uncertainty. Even if Martin wins a majority in the next election, he seems to be marching to a much different drummer these days than when he held the Finance portfolio. If he loses the next election, do you really have any faith in Prime Minister Steven Harper to keep the economy going? Either way I think there's a cap on how far the Canadian Dollar can climb.

I CERTAINLY do NOT see the CAD reaching par with USD. Assuming a Bush victory, 2 scenarios are likely: 1) he continues to drag the U.S. into more and more military fiascos, ruining the economy, and dragging the Canadian economy with it - thus a limited rise in CAD, 2) Iraq starts to go better, the US economy recovers as expected, and USD rises. Either way the CAD has limited appreciation potential against USD.

The bottom line is, if you want to take a bet that CAD will rise further, cash out now and ride the wave. Otherwise wait. As I said I don't see 1CAD=1USD happening anytime soon (or ever). I'd base your decision more on funding poker than on economics. The odds are better at poker.

[Alobar]

[ QUOTE ]
[ QUOTE ]
just think whats going to happen if the canadian dollar equals or beats the american dollar

[/ QUOTE ]

Has anything Canadian ever equaled anything American?

[/ QUOTE ]

I hear they have nice titty bars [img]/images/graemlins/smile.gif[/img]

[jakethebake]

They make better snowshoes.

[jakethebake]

In the long run it all comes down to Purchasing Power Parity and cross-border competition between AB & Molson. [img]/images/graemlins/grin.gif[/img] ...or something like that.

[jakethebake]

Where are you located and what do you follow? Equities? Fixed Income? I'm a media stock analyst myself.

[adamstewart]

I'd like to bring you back a few years...

Picture Salt Lake City.... 2002 Winter Olympics.... Canada wins gold in hockey after pounding the US!!! (both men's and women's).

Oh ya, and this this is not to mention the fact that not too too long ago, the Canadian dollar was worth MORE than than the US dollar.

....yadda, yadda....

Go Kerry!

[img]/images/graemlins/smile.gif[/img] [img]/images/graemlins/cool.gif[/img] [img]/images/graemlins/smile.gif[/img] [img]/images/graemlins/cool.gif[/img] [img]/images/graemlins/smile.gif[/img] [img]/images/graemlins/cool.gif[/img] [img]/images/graemlins/smile.gif[/img] [img]/images/graemlins/cool.gif[/img]

Adam

[busguy]

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Has anything Canadian ever equaled anything American?

[/ QUOTE ]

Now Now Evan.

Didn't Mommy tell you to always play nice like a good little boy.

Now run along and go ask daddy to change your diaper.

[img]/images/graemlins/grin.gif[/img] busguy