The Canadian dollar was shaken Wednesday at the start of the session because the Saudi authorities have urged their fund managers to dump all Canadian investments.
According to Financial Times reports relayed by the Business Insider, the Saudis have ordered to liquidate all the bonds and shares held in Canada, “whatever the price.” The liquidation, by the Saudi central bank and the national pension fund, would have started on Tuesday.
In opening the session, the Canadian dollar lost 0.2% against the US dollar, trading at $ 1.3096.
At the root of this maneuver was Canada’s criticism of human rights in the Arab kingdom, following the arrest of activist Samar Badawi and other activists. The Canadian government also called for their immediate release, which ignited the flames in its relations with Arabia.
Recall that the Saudi kingdom on Monday expelled the Canadian ambassador and recall his own representative in Ottawa.