Monday, July 28th26.1°C
21452

Loonie up on solid U.S. data, markets look to key reports on employment, trade

TORONTO - The Canadian dollar turned higher late morning Monday on indications that the U.S. economy is bouncing back strongly in the second quarter, following a weather-impacted first quarter.

The loonie climbed 0.16 of a cent to 91.23 cents US as the Institute for Supply Management's index hit 55.2 during April versus the reading of 54 that economists had expected.

Traders also took in data showing that Chinese manufacturing shrank in April for the fourth month in a row and looked ahead to a pair of key Canadian economic reports coming out this week.

The HSBC index of Chinese factory activity showed that Chinese manufacturing only rose by 0.1 point to 48.1 in April, using a 100-point scale on which readings below 50 indicate contraction.

The gauge also fell short of its already weak preliminary result, raising concerns among investors that the slowdown in the world’s second biggest economy is entrenched.

The dollar could find some further movement later in the week from the release of the latest reading on employment on Friday and trade data on Tuesday.

Economists expect the Canadian economy created about 16,000 jobs during April, down from 43,000 jobs in March. But job creation has been volatile and regularly missing economists' expectations.

Meanwhile, it is expected that a trade surplus of about $450 million was racked up during March, up from $290 million in February.

Traders also kept an eye on the deteriorating situation in Ukraine where troops fought pitched gun battles Monday with a pro-Russia militia occupying the eastern city of Slovyansk.

In the last few weeks, anti-government forces have stormed and seized government buildings and police stations in a dozen eastern Ukrainian cities. Authorities in Kyiv blame Russia for backing the insurgents.

On the commodity markets, June crude in New York fell 32 cents to US$99.44 a barrel.

Geopolitical worries pushed gold higher for a second day, up $6.80 to US$1,309.70 an ounce while July copper was off a cent at US$3.06 a pound.

The Canadian Press


Read more Business News

22315


Recent Trending




Today's Market
S&P TSX15444.71-10.33
S&P CDNX1013.81-3.63
DJIA16982.8222.25
Nasdaq4447.882-1.682
S&P 5001979.43+1.09
CDN Dollar0.9255+0.0008
Gold1305.20+2.10
Oil101.91-0.18
Lumber323.20-2.30
Natural Gas3.754-0.027

 
Okanagan Companies
Pacific Safety0.195+0.01
Knighthawk0.01-0.005
QHR Technologies Inc1.150.00
Cantex0.065-0.005
Anavex Life Sciences0.26-0.015
Metalex Ventures0.08+0.01
Russel Metals35.33-0.03
Copper Mountain Mining2.875+0.055
Colorado Resources0.22+0.01
ReliaBrand Inc0.10+0.019
Sunrise Resources Ltd0.02-0.03
Mission Ready Services0.19+0.01

 



21623

FEATURED Property
1978450#65,3535 Casorso Rd, KELOWNA
3 bedrooms 2 baths
$249,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


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...


Geopolitical tensions rattle markets

The Big Picture Geopolitical tensions rattle markets The spectre of rising geopolitical tensions in Ukraine and Gaza cast a shadow over an otherwise positive week in the markets. News that a passenger...


Labour shortage in BC

The mainstream media are finally waking up to something unusual in British Columbia – a labour shortage. If the experience of Alberta is a guide to our own future, the highly skilled labour will...

_








Member of BC Press Council


22581