Advertisement
UK markets close in 23 minutes

  • FTSE 100

    8,063.94
    +23.56 (+0.29%)
     

  • FTSE 250

    19,588.40
    -130.97 (-0.66%)
     

  • AIM

    752.77
    -1.92 (-0.25%)
     

  • GBP/EUR

    1.1654
    +0.0009 (+0.08%)
     

  • GBP/USD

    1.2482
    +0.0020 (+0.16%)
     

  • Bitcoin GBP

    50,690.84
    -1,404.20 (-2.70%)
     

  • CMC Crypto 200

    1,372.20
    -10.37 (-0.75%)
     

  • S&P 500

    5,006.46
    -65.17 (-1.29%)
     

  • DOW

    37,837.06
    -623.86 (-1.62%)
     

  • CRUDE OIL

    82.12
    -0.69 (-0.83%)
     

  • GOLD FUTURES

    2,346.40
    +8.00 (+0.34%)
     

  • NIKKEI 225

    37,628.48
    -831.60 (-2.16%)
     

  • HANG SENG

    17,284.54
    +83.27 (+0.48%)
     

  • DAX

    17,882.88
    -205.82 (-1.14%)
     

  • CAC 40

    8,007.48
    -84.38 (-1.04%)
     
Stocks:

Trending tickers

Microsoft, Alphabet, Anglo American, IBM, Astrazeneca, Unilever and Sainsbury's

Canadian Dollar ETF (FXC) Hits New 52-Week High

Zacks Equity Research
Updated
Vanda (VNDA) shares have started gaining and might continue moving higher in the near term, as indicated by solid earnings estimate revisions.

Investors seeking momentum may have CurrencyShares Canadian Dollar Trust ETF FXC on radar now. The fund recently hit a new 52-week high. Shares of FXC are up approximately 13.3% from the 52-week low of $71.70/share.


But could there be more gains ahead for this ETF? Let’s take a look at the fund and the near-term outlook to get a better idea of where it might be headed.


FXC in Focus


FXC focuses on providing exposure to the Canadian dollar relative to the greenback. It increases in value when the loonie appreciates, and decreases when the dollar strengthens. It charges 40 basis points in fees per year and has AUM of $198.9 million (see all Currency ETFs here).

ADVERTISEMENT


Why the Move?


Lately, the Canadian economy has been in the spotlight. The Canadian dollar has been reaching new highs, primarily owing to strong economic data. Canada’s economy expanded 4.5% on an annualized basis in the second quarter of 2017, as household spending surged, owing to strong consumer confidence. In response, Bank of Canada hiked the key interest rate to 1% from 0.75% on Sep 6, 2017. Household spending increased an annualized 4.6% in the second quarter compared with 4.8% in the first. The strong two-quarter increase is reflective of consumers’ confidence in future income.


More Gains Ahead?


Currently, FXC has a Zacks ETF Rank #3 (Hold) with a Medium Risk outlook, so it hard to get a handle on its returns. However, the ETF has a weighted alpha of 10.80. So, there is a promising outlook ahead for those who want to ride this surging ETF a shade further.


Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>














 


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
CRYSHS-CDN DOLR (FXC): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research
 
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report