Canadian dollar and business outlook

By Commodity News Service Canada

WINNIPEG, Nov. 10 – The Canadian dollar was holding steady Monday morning, as the currency reacted to domestic housing data and Chinese economic news.

At 9:16 CST Monday morning the Canadian dollar was at US$0.8828 or C$1.1328 which compares with Friday’s North American close of US$0.8824, or C$1.1333.

China’s trade surplus widened to US$45.4 billion in October, from US$30.9 billion the previous month. In addition, the country’s export growth of 11.6% in October came in above average analyst expectations calling for a 10% rise. However, the pace of growth was still down from the 15.3% reported in September.

In domestic data, Canada’s housing starts fell to an annualized rate of 183,604 units in October, from 197,355 the previous month, reported the Canada Mortgage and Housing Corp.

Crude oil was higher Monday morning, which was supportive for the energy-linked Canadian dollar.

The TSX was stronger in early activity, up 58.04 points at 9:16 CST to sit at 14,748.87.