The Canadian dollar is at it’s highest rate against the US dollar and is now worth .98c:

http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070918/dollar_parity_070918/20070918?hub=TopStories

The Canadian dollar set a 30-year-high Tuesday, closing at US98.64 cents after investors got word of a drastic interest rate cut south of the border.

And, it may be worth more than the US dollar soon!

Economists say it could only be a matter of days before the loonie reaches parity with the American dollar:

“You got the two ingredients, commodity prices and interest rate differentials, both going in the dollar’s favour,” said Don Drummond, chief economist for TD Bank speaking to CTV Newsnet Tuesday evening.

Speculation surrounding the rate cut and record oil prices helped push the dollar past yesterday’s close of US97.28 cents. But the real surge came after the U.S. Federal Reserve cut its key funds rate half a point to 4.75 per cent to curtail a possible recession.

I wonder how much of this is due to rampant US government spending, for instance the billions on the TSA and the Dept of Homeland Security, and the many more billions spent prosecuting the incomplete Iraq and Afghanistan conflicts.

Look at http://www.dhs.gov  and the title is “Protecting our Freedoms”, the correct grammar is “Protecting our Freedom”. And I am the only one for whom the term “Homeland Security” sounds like something from Nazi Germany?