Friday, August 1st31.8°C
21450
22642

Chinese growth concerns help push Canadian dollar, oil prices lower

TORONTO - The Canadian dollar was lower Wednesday as Chinese growth worries pressured commodity-sensitive currencies and oil prices.

The loonie was down 0.11 of a cent at 89.96 cents US.

The catalyst for the latest round of concerns about growth in the world's second-biggest economy was data released on the weekend showing a drop of 18 per cent in Chinese exports in February.

Copper, viewed as an economic barometer as it is used in so many applications, has tumbled in recent days to the lowest level since mid-2010, having fallen 8.3 per cent over the previous three sessions. On Wednesday, the May copper contract on the New York Mercantile Exchange shed early losses and moved up a cent to US$2.96 a pound.

But demand concerns are only part of the problem for copper.

Chinese authorities gave the go-ahead late last week for the country's first credit default, involving a manufacturer of solar panels. And another solar energy company is also in danger of default.

This is worrisome because copper is used as much for financing transactions as for its industrial applications. Traders worry that a wave of defaults could result in a massive liquidation of copper on the markets, which would further depress prices.

Oil prices have also headed steadily lower and the April contract in New York was down another $2.04 to US$97.99 after losing about $2.50 earlier in the week.

Worries about China, along with tensions in Ukraine, pushed bullion prices higher with the May contract ahead $23.80 to a six-month high of US$1,370.50 an ounce.

Traders have also kept an eye on simmering tensions between Russia and Ukraine.

The U.S. Senate has prepared legislation that would impose economic penalties on Russian officials complicit in Ukrainian corruption or anyone responsible for Moscow’s military takeover of Ukraine’s Crimean peninsula.

The Canadian Press


Read more Business News

21313


Recent Trending




Today's Market
S&P TSX15215.26-115.471
S&P CDNX1000.63-0.89
DJIA16493.37-69.93
Nasdaq4352.639-17.134
S&P 5001925.15-5.52
CDN Dollar0.9158-0.0003
Gold1293.10+11.7999
Oil97.85-0.32
Lumber325.20+0.80
Natural Gas3.73-0.017

 
Okanagan Companies
Pacific Safety0.180.00
Knighthawk0.01-0.005
QHR Technologies Inc1.20-0.01
Cantex0.085+0.02
Anavex Life Sciences0.255-0.007
Metalex Ventures0.14+0.06
Russel Metals34.94-0.29
Copper Mountain Mining2.67-0.08
Colorado Resources0.185-0.02
ReliaBrand Inc0.15+0.05
Sunrise Resources Ltd0.035+0.005
Mission Ready Services0.155+0.005

 





FEATURED Property
2014102#302, 1445 Halifax Street
2 bedrooms 2 baths
$239,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Jobs, jobs, jobs galore

On March 6, 2010 a bridge in Turku, Finland bent 56 inches (143 centimeters) due to structural failures of both piers. No one was injured. The bridge had to be demolished 4 months later. Our infrast...


The rewards of listening

Eighty percent of our success in learning from other people is based on how well we listen. Other people’s experience can be enormously helpful. With it we can often overcome time restraints and...


Take charge of your debt

Photo: Thinkstock.comWays to reduce your Debt:Make a budget and get budget counselingA basic first step for debt reduction is to prepare a budget and plan your spending. Once you have a budget, you mu...

_








Member of BC Press Council