Saturday, April 25th6.9°C
26150
25546

Loonie up amid positive export outlook, prospect of continuing low rates

TORONTO - The Canadian dollar closed little changed Thursday amid comments from the governor of the Bank of Canada that Canadians should expect cheap borrowing costs to last for years even after the central bank gets around to hiking interest rates.

The loonie moved up 0.03 of a cent to 90.68 cents US as traders also digested a positive outlook for exports.

Stephen Poloz told a business group in Saskatoon that the Canadian economy has room to grow but even when it returns to full capacity, likely sometime in early 2016, it won’t take a big adjustment in interest rates to keep inflation in check.

The Bank of Canada has left its key rate at one per cent since September 2010.

Meanwhile, Export Development Canada says renewed strength in the United States and in emerging markets, along with a lower loonie, will trigger a rebound in the lagging export sector, particularly in automobiles, building materials and appliances.

EDC chief economist Peter Hall says the volume of shipments will likely start taking off in the second half of this year and expand to 5.8 per cent growth in 2015.

Hall says the pickup in exports might have happened sooner but for the U.S. government shutdown in October and the unusually harsh weather throughout the winter.

Oil and gold prices advanced amid rising tensions between Ukraine and Russia.

June crude in New York was up 50 cents to US$101.94 a barrel while June gold bullion advanced $6 to US$1,290.60 an ounce.

Trading was cautious after Russia's defence minister announced new military exercises in Russia’s south and west in reaction to mounting unrest in eastern Ukraine and NATO exercises in Poland. That development came just hours after Ukrainian troops killed at least two pro-Russia insurgents in eastern Ukraine, leading Russian President Vladimir Putin to threaten Kyiv with unspecified consequences.

May copper ran up six cents to US$3.12 a pound.

The Canadian Press


Read more Business News

25528


Recent Trending




Today's Market
S&P TSX15408.33+15.98
S&P CDNX697.70-1.78
DJIA18080.14+21.45
Nasdaq5092.08+36.02
S&P 5002117.69+4.76
CDN Dollar0.8210+0.0002
Gold1175.20-17.60
Oil55.50-0.88
Lumber258.50+3.90
Natural Gas2.531+0.002

 
Okanagan Companies
Pacific Safety0.12-0.01
Knighthawk0.010.00
QHR Technologies Inc1.38+0.00
Cantex0.035+0.005
Anavex Life Sciences0.43+0.01
Metalex Ventures0.095+0.000
Russel Metals27.16+0.41
Copper Mountain Mining1.15+0.06
Colorado Resources0.095+0.000
ReliaBrand Inc0.004-0.001
Sunrise Resources Ltd0.04+0.01
Mission Ready Services0.20+0.00
Decisive Dividend Corporation1.80+0.10

 



25538

FEATURED Property
288212962 Ryder Drive
4 bedrooms 5 baths
$1,134
more details
image2image2image2
Click here to feature your property
Please wait... loading


What's your score?

There was a time when we would sit down with nothing more than a sheet of paper and a sharp pencil to do the math. Totalling our expenses and subtracting our revenue, the amount left over was the answ...


Do you dare to dream?

Photo: Thinkstock.comI have never been able to understand why some people can only see as far ahead as the end of the current day. Instead of aiming for long term goals, they just wallow in their ever...


Calling on your help!

Has the internet flattened prices as predicted? Has the internet created opportunities for your business to find higher priced markets further afield? Is posting prices on your website a good thing o...

_





26091


Member of BC Press Council


25770