Canadian Dollar and Business Outlook: Loonies dips after BoC announcement
Crude inches up despite larger U.S. inventories
By Glen Hallick
Glacier Farm Media MarketsFarm – The Canadian dollar eased back Wednesday morning following the interest rate announcement from the Bank of Canada.
As of 8:54 am CDT, the loonie was at US$0.7298 or US$1=C$1.3704 compared to Tuesday’s close of US$0.7309 or US$1=C$1.3681. On the U.S. Dollar Index, the greenback tacked on 0.049 of a point at 104.100.
As widely expected, the BoC cut its key interest rate by 25 basis points at 4.75 per cent.
Benchmark crude oil prices bumped up on Wednesday morning but further increases were held back by larger U.S. stockpiles. Brent crude oil rose 47 cents at US$77.99 per barrel and West Texas Intermediate gained 42 cents at US$73.67.
Shortly after Wednesday’s open the TSX/S&P Composite Index added 104.38 points at 22,082.56.
Gold advanced US$15.10 at US$2,362.50 per ounce.
