Go to www.oanda.com/convert/fxhistory. Obtain the direct exchange rate ($ per currency unit) of the Canadian dollar for the beginning of each of the last 12 months. Insert this information in a column on an electronic spreadsheet. (See Appendix C for help on conducting analyses with Excel.) Repeat the process to obtain the direct exchange rate of the euro. Compute the percentage change in the value of the Canadian dollar and the euro each month. Determine the standard deviation of the movements (percentage changes)

in the Canadian dollar and in the euro. Compare the standard deviation of the euro’s movements to the standard deviation of the Canadian dollar’s movements.

Which currency is more volatile?