Canadian Financial Close: BoC, Fed interest rate moves
One reduces, one holds firm
By Glen Hallick
Glacier Farm Media | MarketsFarm – The Canadian dollar stepped back by nearly two-tenths of a cent on Wednesday, following interest rate announcements by the Bank of Canada and the United States Federal Reserve.
The loonie closed on Wednesday at US$0.6928 or US$1=C$1.4435, compared to Tuesday’s finish of US$0.6947 or US$1=C$1.4394. On the U.S. Dollar Index, the greenback bumped up 0.127 of a point at 107.810.
While the BoC pulled back its key rate by 25 basis points at three per cent, the Fed held firm on its rates at 4.25 to 4.5 per cent.
Benchmark crude oil prices were lower on Wednesday as U.S. stockpiles increased by nearly 3.5 million barrels.
Brent crude oil lost 69 cents at US$76.80 per barrel and West Texas Intermediate pulled back 87 cents at US$72.90.
The TSX Composite Index tacked on 53.85 points to close Wednesday at 25,473.30.
Gold nudged up US$2.40 at US$2,769.90 per ounce.
Canada’s agricultural sector fared as follows:
Buhler Industries dn $ 0.01 at $ 3.44 Farmers Edge Inc. unchanged at $ 0.345 Linamar Corp. up $ 0.27 at $ 58.68 Maple Leaf Foods dn $ 0.06 at $ 21.56 Nutrien Ltd. up $ 1.12 at $ 76.62 RB Global Inc. up $ 0.19 at $130.33
(All figures are in Canadian dollars)
