Economy

Canadian dollar rallies as central banks move on inflation

Published

3 years ago

December 16, 2021

The Canadian dollar strengthened against its U.S. counterpart on Thursday as more central banks took steps to fight back against inflation and domestic data showed wholesale trade climbing in October.

World stocks marched back towards record highs as surging inflation saw Britain and Norway hike interest rates after the U.S. Federal Reserve accelerated its stimulus withdrawal.

On Wednesday, Bank of Canada Governor Tiff Macklem said that slack in Canada‘s economy caused by the coronavirus pandemic has substantially diminished, a key sign the central bank is set to begin hiking rates soon.

Canadian wholesale trade rose by 1.4% in October from September to a record high on an increase in sales in motor vehicles and motor vehicle parts and accessories, Statistics Canada said.

Separate data, from payroll services provider ADP, showed that Canada added 231,800 jobs in November, the biggest increase since March, led by a pick-up in hiring in the leisure and hospitality sector.

The Canadian dollar strengthened 0.4% to 1.2774 per greenback, or 78.28 U.S. cents, after trading in a range of 1.2764 to 1.2857.

On Wednesday, the loonie touched its weakest intraday level since Aug. 20 at 1.2936 before rebounding as stocks rallied following the Fed decision.

The price of oil, one of Canada‘s major exports, was supported on Thursday by record U.S. implied demand and falling crude stockpiles, even as the spread of the Omicron coronavirus variant threatens to put a brake on consumption globally.

U.S. crude futures climbed 1.2% to $71.75 a barrel, while Canadian government bond yields were lower across much of the curve.

The 10-year touched its lowest intraday level since Sept. 24 at 1.381% before recovering to 1.395%, down 1.7 basis points on the day.

(Reporting by Fergal Smith; Editing by Nick Zieminski)

Economy

S&P/TSX composite gains almost 100 points, U.S. stock markets also higher

Published

14 hours ago

September 13, 2024

Anne Joseph

TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.

The S&P/TSX composite index closed up 93.51 points at 23,568.65.

In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.

The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.

The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.

The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.

This report by The Canadian Press was first published Sept. 13, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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Economy

Statistics Canada reports wholesale sales higher in July

Published

21 hours ago

September 13, 2024

Anne Joseph

OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.

The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.

The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.

The personal and household goods subsector fell 2.5 per cent to $12.1 billion.

In volume terms, overall wholesale sales rose 0.5 per cent in July.

Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.

This report by The Canadian Press was first published Sept. 13, 2024.

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Economy

S&P/TSX composite up more than 150 points, U.S. stock markets mixed

Published

2 days ago

September 12, 2024

Anne Joseph

TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 172.18 points at 23,383.35.

In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.

The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.

The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.

The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.

This report by The Canadian Press was first published Sept. 12, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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