Canadian dollar slides in wake of Freeland resignation

The Canadian economy woke up with a headache Tuesday morning the day after the surprise resignation of Deputy PM and Finance Minister Chrystia Freeland, with the dollar at its lowest level since March 2020.

READ MORE: Dominic LeBlanc becomes finance minister after Freeland resigns

The ‘loonie’ hit a Dec. 17 morning low of .6982 trading against the U.S. dollar.

The Canadian dollar has fallen more than seven per cent against the greenback this year, and it’s set to have its worst 12 months since 2018.

Political pundits — and many Canadians — say Prime Minister Justin Trudeau’s future is in a state of flux after what a number of Canadian politicians referred to as “total chaos” on Monday, a day in which the scheduled Fall Economic Statement was overshadowed by Freeland’s announcement.

READ MORE: Capital chaos delays Fall Economic Statement

The market decline is said to be a result of continued pressure on the Canadian dollar as the world looks on to see how the country plans to respond to President-elect Donald Trump’s impending tariff threats.

READ MORE: Political fallout: PM Trudeau yet to address calls to step down