RE:RE:Canadian $ continues to Rocket up...How does this affect CVEThank you Margin321..... Valuable info... Good to know and understand. I'm sure it will help many here.
I assume That's the main purpose of these boards, to help each other understand and hopefully make money and not lose money.
All just my opinion/view/thinking/understanding.
Margin321 wrote: The January 28,2021 guidance gives the sensitivity to the exchange rate. The $C to $US was 0.78 on that date.
They stated that a 1 penny change increase resulted in $100 million a year decrease. A one penny decrease resulted in a $100 a year increase.
With the rate at .82 right now that would mean a $400 million loss since the results are reported in $C.
It is a little confusing (to me anyway) because they give the number 0.78 as the $US to $C exchange rate and then say in the table that the $100 million per penny change is related to every penny increase or decrease in the $US/$C exchange rate.
It seems that they are talking about the $C/$US exchange rate, and not the other way around.
Maybe someone can explain that to me.