The Canadian dollar's upward charge continued unabated Monday, as it topped $1.05 US to reach its highest level since March 1960.

The loonie was quoted at $1.0501 US in mid-afternoon trading, up more than a full cent from Friday's close.

It later slipped back to close at $1.0496, up 1.03 cents US.

That leaves the Canadian dollar a little more than one cent away from its postwar high of $1.0614 US, set in August 1957.

Rising oil prices and the likelihood of an imminent interest rate cut in the U.S. were giving the loonie more support on Monday.

Crude oil futures topped a record $93 US a barrel in New York trading as an approaching storm prompted Mexico to shut about a fifth of its oil production.

Rising commodity prices tend to boost the value of Canada's currency, as Canada is a net exporter of oil and many other commodities. Gold prices were also surging Monday, up another $4.80 to $792.30 US an ounce — a new 28-year high.

The U.S. dollar fell to a record low against the euro on Monday. On Wednesday, the U.S. Federal Reserve is widely expected to cut its key overnight lending rate by a quarter of a percentage point to 4.50 per cent.

That would equal the Bank of Canada's overnight lending rate and would erase the interest rate differential between Canada and the U.S.

The speed of the loonie's recent rise has been astonishing — up about 10 cents US just since the start of September.

Since the start of the year, the Canadian dollar has appreciated by 22 per cent. Its rise since the 62-cent US depths of early 2002 has been almost 70 per cent.