Canadian dollar falls after lower than expected GDP data weighs heavy
TORONTO - The Canadian dollar weakened Monday after the latest GDP figures showed that economic growth is moving at a sluggish pace.
The loonie dropped 0.08 of a cent to 93.72 cents US.
Statistics Canada said the economy grew by 0.1 per cent in April â€” the same pace as in March â€” on lower oil and gas production. The figures failed to meet economists' expectations of a gain of 0.2 per cent, according to Thomson Reuters.
Traders have been watching for signs that the economy has moved on from the long, severe winter, which dragged consumer spending in the first quarter.
Commodity prices were mixed with August crude losing 37 cents to US$105.37 a barrel. Crude prices have declined recently in the wake of the weaker than expected U.S. consumer data and expectations that the insurgency in Iraq won't spread to that country's oil-producing south.
September copper was up 3.55 cents at US$3.55 a pound, while August gold bullion lifted $2 to US$1,322 an ounce.
The loonie has had a positive month, up about 1 1/2 cents to a six-month high as gold and oil prices rose amid geopolitical concerns in Iraq and tensions continued in Ukraine and Russia.
The loonie had also found support from stronger than expected inflation data, which raised expectations that the Bank of Canada might raise interest rates sooner than thought.
Read more Business News
- BC likes to stay activeKelowna
- First Ebola case in the USWorld
- Distracted driving talesVernon / N. Okanagan
- Canadian dies in avalancheWorld
|QHR Technologies Inc||1.26||+0.03|
|Anavex Life Sciences||0.184||-0.001|
|Copper Mountain Mining||2.42||-0.10|
|Sunrise Resources Ltd||0.065||+0.045|
|Mission Ready Services||0.32||-0.02|
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...
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...
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 ...