As most of you know, I live in SE Michigan, night clubs drive distance (if that's your thing) from Canada. I didn't go to my favorite Canadian ultimate tournament this year, so haven't been in Canada for a while. So I was pretty darn shocked to hear this news:
The Canadian dollar breached 94 U.S. cents for the first time in 30 years on Friday and analysts are speculating it will be worth as much as the struggling U.S. greenback by year end.
Known as the loonie because of the loon pictured on the one-dollar coin, the Canadian dollar closed at 94.22 cents in Friday trading — the highest it has been since July 1977.
It hit an all-time low of 61.79 cents on Jan. 21, 2002.
The latest surge comes after CIBC World Markets economists predicted the Canadian dollar will be worth as much as the greenback by the end of the year. That last happened in November 1976.
The Canadian dollar--the Loonie--has long been a kind of vacation time bonus for Americans. No longer, I guess. I'll actually have to pay my way the next trip I make through Canada.
The main challengers to U.S. economic power — Brazil, Russia, India and China — have overtaken the United States in dominating the global energy industry, according to a new study by Goldman Sachs.
The rising power of the four countries — the new economic tigers nicknamed the BRICs — is already evident in the metals and mining sector and is starting to be felt in insurance and consumer-related industries, said Anthony Ling, a managing director at the investment bank.
"For any company operating on a global scale, the world is changing more rapidly, more challenging than ever before — truly globalizing," he said, and one of the significant changes is "the rise of BRIC economies."
I mentioned the other day in my talk that we really need to start talking about the real reasons for the war in Iraq--and we need to place blame for the failure not only of the execution but the strategy itself at Dick Cheney's feet. Because Bush's little Iraq adventure was specifically supposed to prevent this kind of thing from happening--it was supposed to be our insurance against the rising cheap labor economies and supposed to shore up the sanctity of the dollar. But rather than take a sound approach--which was to use our relative intellectual advantage to find alternative sources for energy, the oil Vice President instead decided to recommit to a dying way.
We need to get a lot more serious about branding this failure as Cheney's failure. Because when Michiganians have to pay full price in Windsor, they're going to be cross. And we need to channel that anger where it belongs.