Citi was forecasting on Friday that USD/CAD is likely to hit 1.20 after the pair hit a 4-year high of 1.1224. They cited purchasing power parity and the lack of competitiveness.
If it gets to 1.20, a big reason might be cracks in the housing market. At the moment, prices continue toward stratospheric levels. The Toronto Star reported that a dilapidated home, in a mediocre neighborhood with a listing that said “This home really needs everything to be done — not for the faint of heart.”
It sold for $803,649 and needs at least $400,000 in renovations:
More than 300 people showed up for open houses at the five-bedroom, soot-smeared home where the owner, who inherited the detached house from her mother more than three decades ago, had been living with her daughter.
For years, they had relied on kerosene heaters to keep them warm in winter because the house had no working furnace.
It also had a badly leaking roof, is missing windows, has knob and tube wiring and needs a complete gutting, if for no other reason than to get rid of the insidious soot.
