Canadian Dollar and Business Outlook: Loonie up, gold rises

Glacier FarmMedia MarketsFarm – The Canadian dollar approached 74 United States cents on Thursday morning.

The loonie was at US$0.7402 or US$1=C$1.3510 as of 8:38 a.m. CDT, compared to US$0.7375 or US$1=C$1.3559 on Wednesday.

The United States Dollar Index was up 0.27 of a point at 103.70. The U.S. Federal Reserve announced on Wednesday it will not immediately cut its key interest rates, but three cuts will be likely later this year.

Crude oil prices showed some weakness. Brent crude oil declined US$0.19 at US$85.76 per barrel. West Texas Intermediate (WTI) eased off US$0.27 at US$81.00/barrel.

The TSX/S&P Composite Index gained 129.03 points at 22,174.74.

Gold surged US$42.50 at US$2,203.50 per ounce, mainly due to the likelihood the Fed will cut interest rates later in 2024.