Canada Dollar Falls for Second Week as Risk Appetite Slumps

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Canada’s dollar dropped for a second week against the greenback as investors turned to the perceived safety of U.S. government debt on concern Europe’s sovereign-debt crisis will deepen.

The currency, nicknamed the loonie for the image of the bird on the C$1 coin, retreated from a one-month high as investors’ risk appetite ebbed and stocks and crude oil pared advances. The allure of U.S. assets was also burnished as Treasury yields rose to seven-month highs. Data next week may show gains slowed in Canadian consumer prices and retail sales.