Canadian Dollar And Business Outlook

By Commodity News Service Canada

WINNIPEG, January 21 The Canadian dollar was trading at a slightly weaker level compared to the US dollar at 9:04 CST Monday, amid light trade as US markets are closed for the Martin Luther King, Jr. holiday.

At 9:04 CST Monday, the Canadian dollar was at US$1.0070 or US$=C$0.9925, which compares with Friday’s North American close of US$1.0083 or US$=C$0.9918.

Declining crude oil values put some downward pressure on the Canadian dollar, helping it move to the downside, traders said.

Better than expected Canadian wholesale trade data had little effect on the loonie, analysts said. According to Statistics Canada, Canadian wholesale trade increased by 0.7% in November to C$49.57 billion. Traders expected a 0.5% rise.

Traders were looking ahead to Tuesday, when Canadian retail sales figures will be released and the Bank of Canada will make a policy rate statement.

The TSX was up 67.62 points, or 0.53%, at 9:04 CST Monday morning to sit at 12,742.35.