Canadian forex midday: C$ down slightly

By Commodity News Service Canada

Winnipeg, February 27 – The Canadian dollar was slightly weaker compared to the US dollar at midday Thursday, as traders were avoiding risk due to concerns about political problems in Ukraine, analysts said.

At 11:42 CDT Thursday, the Canadian dollar was trading at US$0.8977, or US$1=C$1.1140, which compares with Wednesday’s North American close of US$0.8986, or US$=C$1.1128.

Weakness in crude oil and copper values also spilled over to weigh on the Canadian dollar, though the firmer tone in gold prices was supportive.

Better than expected Canadian trade data also underpinned the loonie. Statistics Canada reported that the country’s trade deficit grew to C$16.01 billion in the fourth quarter of 2013, from C$14.80 billion. Expectations called for a C$17 billion deficit.

Traders were looking ahead to Friday’s GDP data from Statistics Canada.

The Toronto Stock Exchange was up 16.99 points, or 0.12%, at 11:42 CDT Thursday, to sit at 14,205.57.