Friday, April 18th7.4°C
21427
20446

Loonie up after sharp declines, traders look to Bank of Canada rate announcement

TORONTO - The Canadian dollar closed higher Thursday as the currency continued to stabilize following a string of sharp declines.

The loonie was up 0.16 of a cent to 91.53 cents US after a flat performance the previous session.

But the currency has slid almost three per cent so far this year amid disappointing trade and employment data and a dovish stance by the Bank of Canada on interest rates.

Also, the U.S. dollar has trended higher as the Federal Reserve starts to cut back on its massive bond purchases which have kept long-term rates low and encouraged a strong rally on equity markets.

The Fed has cut monthly bond purchases by US$10 billion to $75 billion, but says further tapering depends on the strength of the economy, particularly job creation.

Traders are now looking ahead to next Wednesday's Bank of Canada interest rate announcement for further indications of what the central bank might do about rates. There are some analysts who expect the central bank to cut rates this year.

On the commodity markets, February crude on the New York Mercantile Exchange slipped 21 cents to US$93.96 a barrel.

March copper declined two cents to $3.34 a pound while February bullion gained $1.90 to US$1,240.20 an ounce.

On the economic front, the U.S. consumer price index rose a slight 0.3 per cent in December, translating into an annualized rate of 1.5 per cent.

And the U.S. Labor Department said that claims for jobless benefits declined last week by 2,000 to 326,000, which was in line with expectations.

This is the first glimpse of the job market since the release last Friday of disappointing employment data that showed job creation coming in at 74,000, far less than the 200,000 that had been expected.

The Canadian Press


Read more Business News

17772


Recent Trending




Today's Market
S&P TSX14500.39+53.87
S&P CDNX998.770.80
DJIA16408.54-16.31
Nasdaq4095.516+9.291
S&P 5001864.85+2.54
CDN Dollar0.90720.00
Gold1293.80-9.2999
Oil104.59+0.83
Lumber326.10-2.70
Natural Gas4.735+0.205

 
Okanagan Companies
Pacific Safety0.115+0.01
Knighthawk0.01-0.005
QHR Technologies Inc1.29+0.07
Cantex0.055+0.01
Anavex Life Sciences0.3750.00
Metalex Ventures0.08+0.005
Russel Metals30.66+0.11
Copper Mountain Mining2.35-0.07
Colorado Resources0.255-0.01
ReliaBrand Inc0.12-0.01
Sunrise Resources Ltd0.025-0.005
Mission Ready Services0.25+0.02

 
19691


21097

FEATURED Property
16641123229 Skyview Lane
2 bedrooms 2 baths
$274,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Learning to flirt with the edge

With all of the adventure activities I have done and still do, I wonder sometimes if the edge still exists. The systematic approach to learning a new adventure or extreme activity combined with the r...


Time spent prospecting

How much time should you put into prospecting? The question is a bit of a puzzle. Ideally, there would be a reference book that lists, by industry, how much time you should invest in prospecting acti...


Valuation fears grip markets

The Big Picture Valuation fears grip markets Growing concerns about the level of stock market valuations sparked a risk-off trade in global markets this week. Investors are worried that many companies...

_



21637

21641


Member of BC Press Council


21188