World: step aside for Canada.
Commodities, the Canadian dollar and Toronto Stock Exchange are headed onward and upward despite the world economy appearing to be only halfway through this Great Recession.
The U.S. is undertaking a managed devaluation of its currency to overcome the damage caused by the decades of managed devaluations undertaken by China and other Asian export nations.
But also important to note is a little known fact which was highlighted yesterday at a prestigious luncheon gathering on behalf of the Israel Cancer Research Fund in Toronto.
"Commodity prices have bottomed at their peak prices," pointed out David Rosenberg, Chief Economist and Strategist at money manager Gluskin Sheff Associates Inc.
Commodities didn't fall in price, they overshot and returned to earth. This is very significant. The fact that commodity prices have never retreated, except from a short period of excessive heights during part of 2008, means a higher Canadian dollar because two-thirds of the upside in the Canuck Buck is pegged to commodity prices.
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