WINNIPEG – The Canadian dollar was slightly higher on Wednesday just minutes before a key interest rate announcement from the Bank of Canada (BoC).
As of 8:39 a.m. CST, the loonie was at US$0.7877 or US$1=C$1.2695, compared to US$0.7869 or US$1=C$1.2708 on Tuesday. The BoC is expected to announce its first interest rate hike in two years to 0.5 per cent after surprisingly staying put at 0.25 per cent last month.
The United States Dollar Index was up 0.15 of a point at 97.55.
Crude oil prices were up to another level amid the unrest in Ukraine. However, U.S. President Joe Biden announced in his State of The Union address on Tuesday he and other nations will open up 60 million barrels from special reserves in order to combat higher prices. Brent crude oil jumped US$6.68 per barrel to US$111.65. West Texas Intermediate (WTI) added US$6.54 to US$109.95/barrel. Western Canadian Select (WCS) advanced US$5.47 to US$99.26/barrel.
The TSX/S&P Composite Index made early gains, rising 187.84 points to 21,192.35.
Gold dropped US$13.60 per ounce to US$1,930.20.
