46 unchanged sentences
Interest on the primary deposit account, if any, accrues daily and is paid monthly.
−Removed: The interest rate in effect as of June 30, 2024 was an annual nominal rate of 2.51%.
−Removed: The following chart provides the daily rate paid by the Depository since June 30, 2019:
+Added: The interest rate in effect as of September 30, 2024 was an annual nominal rate of 2.11%.
+Added: The following chart provides the daily rate paid by the Depository since September 30, 2019:
In exchange for a fee, the Sponsor bears most of the expenses incurred by the Trust.
11 unchanged sentences
Results of Operations
−Removed: During the three and six months ended June 30, 2024 and 2023, the Trust’s net comprehensive income (loss) was, in part, impacted by market volatility resulting from expectations around the Federal Reserve (the “Fed”) easing and heightened geopolitical concerns for 2024, and the US banking sector turmoil for 2023, which are considered to be unusual or infrequent events.
−Removed: Although the full and direct impact of Fed easing expectations, rising geopolitical tensions, and the US banking sector turmoil on the Trust’s net
−Removed: comprehensive income (loss) during the three and six months ended June 30, 2024 and 2023 cannot be known, it is believed that they have each independently impacted the Closing Spot Rate, the interest rate paid by the Depository, and the global economy and markets generally, including the number of Shares created and redeemed by the Trust.
−Removed: The Canadian Dollar (CAD/USD) continued lower in the second quarter of 2024.
−Removed: The main driver for this was gains in the US dollar, with the Fed sticking to its more hawkish stance, causing further delays in rate cut expectations.
−Removed: However, renewed weakness in oil prices in the second quarter of 2024 due to weakening macro sentiment, fading geopolitical risk premium, US crude inventory builds, and OPEC’s plans to gradually bring back barrels later this year, added further downward pressure.
−Removed: The Canadian Dollar (CAD/USD) posted positive performance in the second quarter of 2023.
−Removed: While the pair swung back and forth in the first two months of the quarter on dollar and commodity moves, the CAD began climbing in June supported by the hawkish repricing of the Bank of Canada’s (BoC) inflation fighting interest rate expectations while the US Fed paused.
−Removed: Oil prices also recovered slightly following Saudi Arabia’s additional announced production cut and the extension of other OPEC+ member cuts until year end 2024.
−Removed: This provided an additional boost, given Canada is a major crude oil exporter.
−Removed: The Canadian Dollar (CAD/USD) was pressured in the first half of 2024, mainly by gains in the US dollar.
−Removed: The Fed’s higher-for-longer rhetoric and stickier-than-expected US inflation pushed out expectations for rate cuts.
+Added: During the three and nine months ended September 30, 2024 and 2023, the Trust’s net comprehensive income (loss) was, in part, impacted by market volatility resulting from expectations around the Federal Reserve (the “Fed”) easing and heightened geopolitical concerns for 2024, and the US banking sector turmoil for 2023 which are considered to be unusual or infrequent events.
+Added: full and direct impact of Fed easing expectations, rising geopolitical tensions, and the US banking sector turmoil on the Trust’s net comprehensive income (loss) during the three and nine months ended September 30, 2024 and 2023 cannot be known, it is believed that they have each independently impacted the Closing Spot Rate, the interest rate paid by the Depository, and the global economy and markets generally, including the number of Shares created and redeemed by the Trust.
+Added: The Canadian dollar (CAD/USD) ended the third quarter of 2024 higher, largely due to the downturn in the US dollar;
+Added: the US Federal Reserve (Fed) officially kicked off its easing cycle in September.
+Added: However, the downturn in energy prices limited the upside given Canada is a major crude oil exporter.
+Added: A subdued Canadian economy has also been a headwind for the CAD and has increased the call for a supersized rate cut;
+Added: the Bank of Canada has already eased three times this year, for a total of 0.75% of cuts.
+Added: The Canadian dollar (CAD/USD) posted negative performance in the third quarter of 2023, largely due to gains in the US dollar though the recovery in energy commodities from mid-August onwards significantly limited the downside.
+Added: The country is a major exporter of crude oil and is thus highly sensitive to moves in the energy market.
+Added: Canadian inflation also came in higher than expected in August due to the higher energy prices which raised bets that the Bank of Canada (BoC) would need to continue tightening – current inflation rates are still well above the central bank’s target rate.
+Added: The Canadian dollar (CAD/USD) ended the first three quarters of 2024 lower, mainly due to US dollar strength and weak energy prices.
+Added: The Fed’s higher-for-longer rhetoric and US economic resilience pushed out expectations for rate cuts in the first half of the year;
higher rates generally provide support for the country’s currency.
−Removed: US economic resilience also boosted demand for the dollar, pressuring the pair.
−Removed: While rising energy prices did limit some of the downside in the first quarter of 2024, given the country is a major exporter of crude oil, the positive impact was outweighed by the USD gains.
−Removed: The Canadian Dollar (CAD/USD) moved slightly higher in the first half of the year of 2023 though the pair swung back and forth through the period, swayed by the US dollar, BoC’s rate hike policies and crude oil price moves.
−Removed: While the CAD did gain a bit in the first half of the first quarter, as the US dollar weakened further on expectations for a softer Fed stance, the pair fell sharply from mid-February to mid-March, with the US dollar rebounding on signs of continued strength in the US labor market and inflation.
−Removed: Struggling commodity prices also capped the upside for the currency, given Canada is a major exporter of crude oil.
−Removed: However, the currency pair did rebound in the second half of March amid a weaker USD and the boost in energy prices following the OPEC production cut.
−Removed: In the second quarter, while the pair was range bound in April and May, the CAD gained in June supported by the hawkish repricing of the BoC’s interest rate expectations while the US Fed paused.
−Removed: The market’s more constructive view on oil prices and overall improvement in risk sentiment also provided support.
+Added: While rising energy prices due to geopolitical tensions did limit some of the downside in the first quarter of 2024, this became a headwind in the second and the third quarter of 2024 as crude oil was pressured at first by recession concerns, and then low refining margins decreasing crude demand, the bearish Trump trade, expectations for a supply glut in 2025, and the OPEC spare capacity overhang.
+Added: Geopolitical risk premium also faded with no real supply disruptions playing out.
+Added: The Canadian dollar (CAD/USD) ended the first three quarters of 2023 largely flat, following losses in the third quarter of 2023.
+Added: While the CAD did gain a bit in the first half of the first quarter of 2023 as the US dollar weakened further on expectations for a softer Fed stance, the pair fell sharply from mid-Feb to mid-Mar, with the dollar rebounding on signs of continued strength in the US labor market and inflation.
+Added: Struggling commodity prices also capped the upside for the currency given the country is a major exporter of crude oil.
+Added: However, the currency pair did rebound in the second half of March amid a weaker USD and the boost in energy prices.
+Added: In the second quarter of 2023, while the pair was pretty range bound in April and May, the CAD really gained in June supported by the hawkish repricing of the BoC’s interest rate expectations while the US Fed paused.
+Added: Despite its resilience, renewed dollar strength heavily pressured the pair in the third quarter of 2023, though the rebound in energy commodities limited the downside.
Additionally, the interest rate paid by the Depository has generally trended upward over the past year, slightly offset by decline in the recent quarter, to the current interest rate of 2.11%, as set forth in the FXC Rate Chart above.
4 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.