Wednesday, August 20th15.8°C
22938
22285

Loonie adds to losses amid strong housing report, weak commodity prices

TORONTO - The Canadian dollar closed lower Monday amid a stronger than expected reading on housing starts and commodity prices that fell in the wake of disappointing data from China.

The loonie was off 0.09 of a cent to 90.08 cents US after a lacklustre employment report on Friday helped push the currency down eight-tenths of a cent US.

Canada Mortgage and Housing Corp. reported that housing starts for February came in at a seasonally adjusted annual rate of 192,094, slightly higher than the consensus expectation of 190,000. The showing followed a gain of 180,481 starts racked up in January.

"Housing looks likely to be a modest growth contributor in upcoming quarters, helped by the completion of multiple-unit dwellings started a year earlier," said Avery Shenfeld, chief economist at CIBC World Markets.

Commodity prices fell sharply in the wake of weak Chinese trade data and disappointing Japanese growth for the fourth quarter.

Data released on the weekend showed China’s exports fell by an unexpectedly large 18 per cent in February.

China’s official 2014 economic growth target of 7.5 per cent assumes trade also will grow by 7.5 per cent. But customs data showed that combined imports and exports so far this year have shrunk by 4.8 per cent.

Meanwhile, Japan reported Monday a record current account deficit for January, and lowered its economic growth estimate for the October-December quarter to 0.7 per cent from one per cent.

Copper prices fell for a second session in the wake of the Chinese data, with the May contract in New York losing another five cents to US$3.03 a pound. Prices for the metal tumbled 14 cents Friday after Chinese authorities allowed the country’s first corporate bond default, which fuelled speculation as to how many more companies may be in a similar situation.

The weak overseas data pushed the April crude contract on the New York Mercantile Exchange down $1.46 to US$101.12 a barrel.

Bullion prices erased early losses and the April contract gained $3.30 to US$1,341.50.

The Canadian Press


Read more Business News

20970


Recent Trending




Today's Market
S&P TSX15477.17+138.70
S&P CDNX997.566.94
DJIA16919.5980.85
Nasdaq4527.514+19.202
S&P 5001981.60+9.86
CDN Dollar0.9137-0.0005
Gold1295.20+0.10
Oil95.57+1.09
Lumber354.50+1.90
Natural Gas3.84-0.037

 
Okanagan Companies
Pacific Safety0.185-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.200.00
Cantex0.07+0.005
Anavex Life Sciences0.26+0.03
Metalex Ventures0.0850.00
Russel Metals37.22-0.15
Copper Mountain Mining2.77-0.11
Colorado Resources0.17-0.01
ReliaBrand Inc0.077-0.003
Sunrise Resources Ltd0.025-0.005
Mission Ready Services0.200.00

 



22551

FEATURED Property
183051670 Dolly Varden Road
$179,000
more details
Click here to feature your property
Please wait... loading


Cost of an Injury Lawyer

Let’s face it; nobody wants to pay for legal services if they do not have to, but if you have been injured in an accident you may have thought about hiring a lawyer to help you navigate your cla...


Going home to a bully!

Finally, after three months in New Brunswick, I am back home in the sunny Okanagan. It is a delight to be home and the lake, vistas, people and climate never disappoint. Like many people however, I...


Managing a business in 40 hours a week

My screen printing business, like many others, started as a one-man operation. It was located in a small building, not much better than a shack, with a telephone, a big table where I ate lunch and (oc...

_








Member of BC Press Council


22771