Canadian Dollar and Business Outlook: Loonie steady, crude oil steps back

Glacier FarmMedia MarketsFarm – The Canadian dollar remained under pressure Thursday morning after Wednesday’s sharp drop.

The loonie was at US$0.7311 or US$1=C$1.3678 as of 8:37 a.m. CDT, compared to US$0.7315 or US$1=C$1.3571 on Wednesday. On that day, the BoC said it will leave its key interest rate unchanged at five per cent. However, many observers believe the central bank will cut rates after its next announcement in June.

The United States Dollar Index cut 0.17 of a point at 105.07.

Crude oil prices were lower despite the possibility of an Iranian attack on Israel. Brent crude oil dropped US$0.41 at US$90.07 per barrel. West Texas Intermediate (WTI) was down US$0.50 at US$85.71/barrel.

The TSX/S&P Composite Index declined 41.95 points at 22,157.18.

Gold advanced US$10.70 at US$2,359.10 per ounce.