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The share of systemic variations in the Canadian dollar - part II / by Jean-Sébastien Fontaine and Guillaume Nolin.FB3-7/2017-1E-PDF

“This analytical note examines how much of the systematic variation in the Canadian dollar is attributable to its sensitivity to commodity prices. We introduce a new “oil” portfolio that captures systematic variations when the exchange rates of commodity exporters and commodity importers move in opposite directions. We find that the Canadian dollar’s sensitivity to the oil portfolio has increased with the growing importance of commodities in the Canadian economy; this trend accelerated between 2007 and 2014. However, we find that only a small share of the depreciation of the Canadian dollar in 2014–15 can be attributed to the oil portfolio, even if this depreciation coincided with a sharp decline in oil prices"--Abstract, p. [i].

Permanent link to this Catalogue record:
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Publication information
Department/Agency
  • Bank of Canada.
TitleThe share of systemic variations in the Canadian dollar - part II / by Jean-Sébastien Fontaine and Guillaume Nolin.
Variant title
  • Share of systematic variations in the Canadian dollar depreciation - part II
Series title
  • Staff analytical note = Note analytique du personnel, 2369-9639 ; 2017-1
Publication typeMonograph - View Master Record
Language[English]
FormatDigital text
Electronic document
Note(s)
  • Cover title.
  • Includes bibliographical references.
  • Includes abstract in French.
Publishing information
  • [Ottawa] : Bank of Canada, c2017.
Author / Contributor
  • Fontaine, Jean-Sébastien.
  • Nolin, Guillaume.
Description6 p. : col. charts
Catalogue number
  • FB3-7/2017-1E-PDF
Subject terms
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