Tuesday, September 30th14.4°C
23366
22934

Loonie lower ahead of rate announcement;greenback rises on China nervousness

TORONTO - The Canadian dollar closed lower Tuesday, a day ahead of the Bank of Canada's latest announcement on interest rates.

The currency fell 0.2 of a cent to 91.1 cents US with no change expected in key rates.

"We see no move in the bank's official bias (still firmly neutral) or in the overnight rate target (expected to remain pegged at one per cent as it has since September 2010) but a modestly less dovish tone," said Mark Chandler, head of Canadian FIC strategy at RBC Dominion Securities.

The bank also delivers its latest Monetary Policy Report on Wednesday followed by a news conference by governor Stephen Poloz.

Meanwhile, the U.S. dollar gained amid nervousness centred on China as lending data showed a tightening of credit growth.

Money supply growth climbed just 12.1 per cent year-over-year in March, the slowest pace in 17 years.

And that slowing in credit growth raised fresh worries about economic growth in the world’s second-biggest economy. There are worries that gross domestic product growth may fall below seven per cent in the current year, a full 0.5 of a percentage point below the government's target for growth. Official growth figures for China will be released Wednesday.

The rising U.S. dollar helped depress commodity prices. A stronger greenback makes it more expensive for holders of other currencies to buy oil and metals, which are dollar-denominated.

May crude on the New York Mercantile Exchange fell 30 cents to US$103.75 a barrel.

May copper was down six cents to US$2.99 a pound while June gold bullion fell $27.20 to US$1,300.30 an ounce.

The Canadian Press


Read more Business News

23392


Recent Trending




Today's Market
S&P TSX14960.51-16.41
S&P CDNX909.29-3.47
DJIA17042.90-28.32
Nasdaq4493.39-12.462
S&P 5001972.29-5.51
CDN Dollar0.8930-0.0029
Gold1209.20-9.6001
Oil89.94-2.84
Lumber333.50+4.60
Natural Gas4.124-0.03

 
Okanagan Companies
Pacific Safety0.13-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.26+0.03
Cantex0.065-0.025
Anavex Life Sciences0.184-0.001
Metalex Ventures0.0550.00
Russel Metals34.57+0.08
Copper Mountain Mining2.42-0.10
Colorado Resources0.165+0.015
ReliaBrand Inc0.019-0.001
Sunrise Resources Ltd0.065+0.045
Mission Ready Services0.32-0.02

 



23392

FEATURED Property
19978011215 Bergamot Ave
3 bedrooms 3 baths
$449,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Power-save your way to a down payment

Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...


A wildly successful manufacturer

Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...


Finding the smart money

Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...

_



23499




Member of BC Press Council


22620