Canadian Dollar and Business Outlook: BoC maintains key rate
Economic uncertainty created by Trump tariffs
By Glen Hallick
Glacier FarmMedia MarketsFarm – The Canadian dollar bumped up to almost 73 U.S. cents on Wednesday morning, following the interest rate announcement from the Bank of Canada.
The BoC held its key overnight rate at 2.75 per cent, citing uncertainty with the Canadian and global economies due to United States tariffs. Also, the bank said inflation excluding taxes rose to 2.3 per cent in April, higher than what it expected.
As of 9:02 am CDT, the loonie was at US$0.7299 or US$1=C$1.3699 compared to Tuesday’s close of US$0.7287 or US$1=C$1.3723. On the U.S. Dollar Index, the greenback slipped 0.154 of a point at 98.010.
Benchmark crude oil prices inched upward on Wednesday morning, as supply in Canada was threatened by wildfires but gains were countered by the planned output increase from OPEC+.
Brent crude oil added 15 cents at US$65.78 per barrel and West Texas Intermediate bumped up 27 cents at US$63.68.
The TSX/S&P Composite Index nudged up 11.18 points shortly after it opened at 26,437.82.
Gold inched up 60 cents at US$3,377.70 per ounce.
