Monday, September 1st23.5°C
22736
22915

Loonie slides amid falling wholesale sales, disappointing U.S. housing data

TORONTO - The Canadian dollar closed sharply lower Wednesday amid a drop in wholesale sales and another indication of how severe winter weather is impacting the U.S. economy.

The loonie moved down 1.08 cents to 90.24 cents US as Statistics Canada said wholesale sales fell 1.4 per cent to $49.6 billion in December, the lowest level in six months.

"The data contribute to our view that Canadian real GDP contracted in December after four solid months, in part afflicted by very severe weather (ice storm in Central Canada)," said CIBC World Markets senior economist Avery Shenfeld.

The machinery, equipment and supplies subsector recorded the largest decline in dollar terms in December, with a drop of 3.5 per cent. This decline was attributed to a 13.2 per cent decrease in the computer and communications equipment and supplies industry.

The motor vehicle and parts subsector was off four per cent in December, more than offsetting a gain recorded in November.

Other data showed that U.S. housing starts fell by 16 per cent to an annualized rate of 880,000, worse than the expected reading of 899,000.

Reports released Tuesday underscored how large amounts of snow and freezing temperatures are having an impact on U.S. economic performance. The Empire State Manufacturing Index for February, a gauge of manufacturing activity in the U.S. Northeast, declined much more than expected while the U.S. National Association of Home Builders' buyer traffic index fell sharply as fewer prospective buyers felt like braving severe winter conditions in many parts of the U.S.

Commodities were mixed with March crude on the New York Mercantile Exchange ahead 88 cents to US$103.31 a barrel.

March copper was unchanged at US$3.29 a pound while April gold bullion faded $4 to US$1,320.40 an ounce.

The Canadian Press


Read more Business News

23057


Recent Trending




Today's Market
S&P TSX15625.73+67.561
S&P CDNX1023.991.62
DJIA17098.4518.88
Nasdaq4580.271+22.577
S&P 5002003.37+6.63
CDN Dollar0.9199+0.0005
Gold1281.70-2.1001
Oil95.96+1.29
Lumber349.60+2.60
Natural Gas3.965+0.054

 
Okanagan Companies
Pacific Safety0.20+0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.190.00
Cantex0.08+0.01
Anavex Life Sciences0.25+0.01
Metalex Ventures0.0750.00
Russel Metals36.48+0.09
Copper Mountain Mining2.93+0.02
Colorado Resources0.180.00
ReliaBrand Inc0.10+0.001
Sunrise Resources Ltd0.0250.00
Mission Ready Services0.245-0.005

 



22929

FEATURED Property
19625304264 Hobson Road
4 bedrooms 4 baths
$5,895,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


At the Core: Lessons in pricing from Apple

Apple has taught many entrepreneurs the importance of design, how to create buzz when introducing new products to the marketplace, how to pioneer new technology and the importance of superior quality....


New Real Estate Brokerage in town

Move over “big guys” there’s a new brokerage in town featuring local expertise, long standing experience and a fresh boutique approach. Kelowna, August 31 2014 – You may have...


How much mortgage should you carry?

There are several things to consider when deciding how much home to buy. 1. Draw up a budget including the new mortgage payments. While the rules used by most lenders require that the mortgage paym...

_








Member of BC Press Council


22810