Canadian Financial Close: Loonie drops, crude oil rises ahead of Labour Day

WINNIPEG – The first day of September was not too kind to the Canadian dollar ahead of the Labour Day weekend.

The loonie closed at US$0.7364 or US$1=C$1.3580 on Friday, compared to US$0.7390 or US$1=C$1.3531 on Wednesday. Statistics Canada (StatCan) estimated today that the economy contracted by 0.2 per cent in the second quarter. Markets in both Canada and the United States will be closed on Monday for the Labour Day holiday.

The U.S. Dollar Index gained 0.63 of a point at 104.25.

Crude oil surged on Friday after OPEC+ nations reiterated their intent to cut supply and China implemented additional stimulus into its economy.

Brent crude oil jumped US$1.98 at US$88.81 per barrel. West Texas Intermediate (WTI) rose US$2.27 at US$85.90/barrel.

The TSX/S&P Composite Index made a large gain, rising 252.74 points to 20,545.36.

Gold added US$0.80 at US$1,966.70 per ounce.

Canada’s agricultural sector fared as follows:

Buhler Ind.                      up  $ 0.10     at $  2.62

Farmer’s Edge Inc.               up  $ 0.015    at $  0.19

Linamar Corp.                    up  $ 0.52     at $ 71.43

Maple Leaf Foods                 dn  $ 0.09     at $ 29.00

Nutrien Ltd.                     up  $ 2.25     at $ 87.84

Ritchie Bros Auctioneers Inc.    up  $ 1.20     at $ 84.76

(All figures are in Canadian dollars.)