Research: Is Debt, Real Estate Sinking the Loonie?

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Canada: Is Debt, Real Estate Sinking the Loonie?

By Erik Norland, Senior Economist, CME Group

Highlights:

  • Canadian dollar has begun to diverge from WTI crude oil
  • Could signal economic problems related to debt, property values
  • High debt could pressure Canada to keep interest rates low
  • Budget deficit might grow to aid private sector deleveraging