Canadian Dollar And Business Outlook

By Commodity News Service Canada

WINNIPEG, March 4 – The Canadian dollar was weaker Monday morning, as economic news out of Europe and China led to concerns over global growth. The US spending cuts that went into effect on Friday also continued to put some pressure on the financial markets.

At 9:27 CST Monday morning the Canadian dollar was at US$0.9723 or C$1.0285 which compares with Friday’s North American close of US$0.9736, or C$1.0271.

There were no significant Canadian economic releases this morning. Participants are awaiting the Bank of Canada’s latest interest rate announcement, due out on Wednesday.

The Bank is generally expected to hold its key overnight rate unchanged at 1.0%. However, traders will be following the accompanying statement closely for signs of future moves.

The TSX was weaker Monday morning, down 48.82 points at 9:27 CST to sit at 12,724.30.