Glacier FarmMedia MarketsFarm – The Canadian dollar fell to its lowest point since last November on Wednesday after the Bank of Canada (BoC) made its interest rate announcement.
The loonie closed at US$0.7315 or US$1=C$1.3671, compared to US$0.7365 or US$1=C$1.3578 on Tuesday. The BoC left its key rate at five per cent, and observers believe the central bank will start cutting rates in June.
The downturn was mostly due to a stronger United States dollar. The U.S. Dollar Index surged 1.02 points at 105.17 to reach its highest point since last November. Inflation in the country rose to 3.5 per cent in March, compared to 3.2 per cent in February, making interest rate cuts less likely.
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Canadian Financial Close: Loonie retreats, crude oil jumps
Glacier FarmMedia | MarketsFarm – The Canadian dollar took a step back after the release of economic news from Statistics Canada….
Crude oil prices bounced back. Brent crude oil rose US$1.11 at US$90.53 per barrel. West Texas Intermediate (WTI) climbed US$1.05 at US$86.28/barrel.
The TSX/S&P Composite Index lost 162.65 points at 22,199.13.
Gold dropped US$12.20 at US$2,350.20 per ounce.
Canada’s agricultural sector fared as follows:
Buhler Ind. unchanged at $ 2.30
Farmer’s Edge Inc. unchanged at $ 0.345
Linamar Corp. dn $ 0.85 at $ 69.15
Maple Leaf Foods up $ 0.08 at $ 24.03
Nutrien Ltd. dn $ 0.45 at $ 75.89
RB Global Inc. up $ 0.19 at $101.01
(All figures are in Canadian dollars.)
