[tonyvdb]

Our dollar is no different than any other curancy as it is fully independent and rides its own market. The Toronto stock exchange (TSE) just like the New York stock exchange as well as outside markets dictate where the dollar sits as far as value.
The Canadian dollar has gained strength due to a number of factors one being the downturn of the US markets as of late. US Intrest rates being lowered have also given strength to the Canadian dollar as inverters dont like the fears that the US market is on the verge of a recession.
The Canadian dollar does ride on the US dollar at times but lately this is not the case as the jobless rate is at an all time low in Canada and over all the economy is the strongest its been in at least 25 years and is showing no signs of slowing down.
The down fall is that housing prices particularly in Alberta have gone up more than 200% An average 3 bedroom house here in Edmonton has gone from below $200,000 in 2001 to over $375,000 in 2007.
So the bottom line is that now I can go and buy something in the US and our dollar is worth just as much as the US dollar. Where as before I had to pay out 25cents more for every one dollar Canadian I spent in the US.