WINNIPEG – The Canadian dollar continued its downturn to start the week, declining with crude oil prices while also facing a rising United States dollar.
As of 8:36 a.m. CDT, the loonie was at US$0.7833 or US$1=C$1.2767, compared to US$0.7873 or US$1=C$1.2702 on Friday. The U.S. Dollar Index gained 0.42 of a point at 101.64, marking the fifth straight day the index was above the 100-point mark.
Benchmark crude oil prices dropped as COVID-19 cases increased in Beijing, raising concerns for potential lockdowns such as those in Shanghai. Brent crude oil lost US$6.01 per barrel to US$100.64. West Texas Intermediate (WTI) plunged US$6.14 to US$95.93/barrel. Western Canadian Select (WCS) fell US$4.27 to US$84.91/barrel.
COVID-19 lockdown fears in China and speculation of further tightening by the U.S. Federal Reserve brought pressure onto the TSX/S&P Composite Index, which shed 288.26 points to 20,898.12.
Gold declined US$31.80 per ounce to US$1,902.50.
