Investing.com – The Canadian dollar tumbled to an 8-month low against its U.S. counterpart on Tuesday, as oil fell below USD 68 a barrel on rising risk aversion amid fears over the euro zone sovereign debt crisis.
USD/CAD hit 1.0854 during European afternoon trade, its highest since Oct. 2, 2009; the pair subsequently consolidated around 1.0791, jumping 1.55%.
The pair was likely to find resistance around 1.0991, the high of Sept. 28, 2009, and support at 1.0534, Monday's low.
On Monday, the International Monetary Fund called on Spain to press on with a major restructuring of its economy, including progress on slashing government budget deficits and an overhaul of union-dominated labor markets.
The IMF statement came shortly after the country's central bank stepped in to rescue Cajasur, one of the country's largest regional lenders, exacerbating concerns that the euro zone debt crisis may hit the 16-nation region's banking sector.
Meanwhile, the loonie also slumped versus the yen on Tuesday, with CAD/JPY dropping 2.18% to reach 83.13.
Later in the day, a research group, the Conference Board, was set to publish a closely watched report on U.S. consumer confidence. The data, which is based on a survey of about 5,000 households, is an important signal of consumer spending.
USD/CAD hit 1.0854 during European afternoon trade, its highest since Oct. 2, 2009; the pair subsequently consolidated around 1.0791, jumping 1.55%.
The pair was likely to find resistance around 1.0991, the high of Sept. 28, 2009, and support at 1.0534, Monday's low.
On Monday, the International Monetary Fund called on Spain to press on with a major restructuring of its economy, including progress on slashing government budget deficits and an overhaul of union-dominated labor markets.
The IMF statement came shortly after the country's central bank stepped in to rescue Cajasur, one of the country's largest regional lenders, exacerbating concerns that the euro zone debt crisis may hit the 16-nation region's banking sector.
Meanwhile, the loonie also slumped versus the yen on Tuesday, with CAD/JPY dropping 2.18% to reach 83.13.
Later in the day, a research group, the Conference Board, was set to publish a closely watched report on U.S. consumer confidence. The data, which is based on a survey of about 5,000 households, is an important signal of consumer spending.