Business World

The Canadian dollar is trading at its highest levels in nearly a week.

At early afternoon, Canada's currency was below the high of the day but still above 81 cents US.

RBC Capital currency strategist David Watt says the loonie's strength reflects renewed confidence in currencies that are sensitive to the global economy.

He says the U.S. government's weekend bailout announcement for Citigroup is helping restore calm, as is the new economic team announced by president-elect Barack Obama business cards.

At about 1 p.m. in Toronto, the Canadian dollar was worth 81.10 cents US – up 2.8 cents from Friday's close.

The loonie hasn't closed above 81 cents since last Tuesday.

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