By Commodity News Service Canada
Winnipeg, June 27 – The Canadian dollar was nearly unchanged compared to its US counterpart at midday Thursday, as the release of strong US economic data nearly erased earlier gains.
The Canadian dollar’s early gains were linked to positive economic data from China and Canada, as well as the upswing in commodity prices. Strength in the North American equity market provided additional support.
But, the release of strong US economic data took the Canadian dollar off its highs. The positive data reinforced the US Federal Reserve’s plan to back off stimulus programs before the end of 2013.
At 11:54 CDT Thursday, the Canadian dollar was trading at US$0.9544, or US$1=C$1.0478, which compares with Wednesday’s North American close of US$0.9543, or US$=C$1.0479.
Traders were looking ahead to Friday, when Canada releases its latest gross domestic product (GDP) data. Average expectations call for Canadian GDP to increase 0.1% month over month and at an annualized rate of 1.4% in April.
The Toronto Stock Exchange was up 74.59 points, or 0.63%, at 11:54 CDT Thursday, to sit at 12,027.13.
