Canadian Dollar And Business Outlook

By Commodity News Service Canada

Winnipeg, May 25 – The Canadian dollar was slightly higher against its American counterpart Wednesday morning, taking strength
from gains in oil ahead of today’s Bank of Canada policy meeting.

Most market-watchers expect the BoC to keep interest rates untouched after a wildfire in Fort McMurray disrupted several
oilsands projects.

Inventories of crude oil in the US fell by 5.1 million barrels this month, which was supportive for prices.

At 8:45 CDT, the loonie was up 0.0003 of a cent to US$0.7620 or US$1=C$1.3123, which compares with Tuesday’s close of US$0.7607
or US$1=C$1.3146.

At 8:45 a.m., New York Mercantile crude oil futures (June contract) had climbed US$0.42 to sit at US$49.04 a barrel. The June
gold contract fell $10.60 to US$1,218.60 an ounce.

At 8:45 CDT Wednesday morning, the TSX was up 38.41 points to 13,991.26.