Canadian forex midday: C$ Correcting slightly lower

By Commodity News Service Canada

WINNIPEG, July 12 – The Canadian dollar was slightly weaker at midday Friday, as the currency saw as bit of a correction after rallying sharply against its US counterpart on Thursday.

At 11:42 CST, the Canadian dollar was trading at US$0.9620 or US$1=C$1.0395 which compares with Thursday’s close of US$0.9629 or US$=C$1.0385.

Indications from the US Federal Reserve earlier this week that the Fed won’t be easing its monetary stimulus measures anytime led to a general selloff in the US dollar internationally, which caused the Canadian dollar to strengthen.

Meanwhile, the Bank of Canada will make its own interest rate announcement on July 17 and currency traders will be following the accompanying statement closely. The Bank of Canada has taken a more hawkish stance recently, and is expected to maintain that bias.

At midday Friday the Toronto Stock Exchange was weaker, down 31.75 points at 11:42 CST to sit at 12,134.91.