Canadian dollar and business outlook
By Phil Franz-Warkentin
Glacier FarmMedia MarketsFarm – The Canadian dollar was weaker Wednesday morning, hitting its lowest level in the past month relative to its United States counterpart.
At 8:40 a.m. CST the Canadian dollar was trading at US$0.7390 or US$1=C$1.3532, which compares with Tuesday’s close of US$0.7417 or US$1=C$1.3483.
Statistics Canada reported that the country’s Industrial Product Price Index (IPPI) fell by 1.5 per cent in December compared to the previous month and was down by 2.7 per cent annually. Meanwhile, the Raw Materials Price Index (RMPI) was down by 4.9 per cent monthly and 7.9 per cent year over year.
Canadian investors purchased C$12.5 billion of foreign securities in November while foreign investors acquired C$11.4 billion of Canadian securities, resulting in a net outflow of C$1.1 from the country’s economy during the month, according to a report from Statistics Canada.
Crude oil was weaker, with West Texas Intermediate crude oil down by 1.96 per cent at US$70.98 per barrel.
The TSX was moving lower in early trade, losing 224.70 points at 8:40 CST, trading at 20,723.39 points.