By Commodity News Service Canada
Winnipeg, May 2 – The Canadian dollar was slightly stronger compared its US counterpart at midday Thursday, amid better than expected Canadian trade data, analysts said.
According to Statistics Canada, the country’s trade balance went from a deficit of $1.2 billion in February to a surplus of $24 million in March. Traders expected the country to move to a deficit of $700 million.
At 11:57 CDT Thursday, the Canadian dollar was trading at US$0.9923, or US$1=C$1.0078, which compares with Wednesday’s North American close of US$0.9920, or US$=C$1.0081.
News that the European Central Bank has decided to cut interest rates in order to stimulate the euro zone’s economy provided further support for the Canadian dollar.
Spill over buying from the gains seen in commodities, including crude oil and gold, also underpinned the value of the Canadian currency.
The Toronto Stock Exchange was up 48.21 points, or 0.39%, at 11:57 CDT Thursday, to sit at 12,369.50.
