Change of government unlikely to support CAD

The change of government in Canada does not seem to support CAD. The Liberal Democrat Justin Trudeau seems to be emerging as the winner of the parliamentary election in Canada and the loonie came under pressure last night. Clearly the announcement of an end to austerity measures is not what the FX market considers to be the correct solution. That makes sense. 

"If simply spending money could solve economic difficulties (the Canadian economy has been suffering from relatively poor growth for some time under Prime Minister Stephen Harper) no doubt we would have found out about this panacea centuries ago and there would be no more economic difficulties. So the formation of a government will now be key for CAD", says Commerzbank.