Canadian Financial Close: C$ strengthens

By MarketsFarm

WINNIPEG, July 28 (MarketsFarm) – The Canadian dollar was slightly stronger on Wednesday, finding some support from the latest interest rate announcement from the United States Federal Reserve.
The Canadian dollar closed at US$0.7958 or US$1=C$1.2566 on Wednesday, which compares with Tuesday’s North American close of US$0.7950 or US$1=C$1.2578.
The Fed left its key overnight rate unchanged, as expected, but had a generally favourable outlook for the U.S. economy despite the recent increase in the COVID-19 Delta variant. The Fed also announced that it will establish facilities to help provide a backstop in times of economic stress.

Soft Canadian inflation data put some pressure on the currency, with the 3.1 annual inflation reported by Statistics Canada for June down from 3.6 per cent the previous month.
A firm tone in crude oil was supportive for the energy-linked Canadian currency. West Texas Intermediate was up by 0.91 per cent at US$72.30 per barrel.
The TSX Composite Index was stronger, up 57.05 points, or 0.28 per cent, to close at 20,230.40 points.

Canada’s agricultural sector performed as follows:

Buhler Industries—————- $ 0.00 at $ 3.08
Linamar Corp.——————–dn $ 0.21 at $ 72.10
Maple Leaf Foods—————–dn $ 0.01 at $ 24.71
Nutrien Ltd.———————up $ 0.67 at $ 74.54
Ritchie Bros Auctioneers Inc.—-dn $ 0.29 at $ 74.25
Farmers Edge Inc.—————-dn $ 0.20 at $ 10.40

(All figures are in Canadian dollars.)

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