Economy

Canadian dollar pares weekly gain as Ukraine tensions soar

Published

3 years ago

February 11, 2022

The Canadian dollar weakened against its U.S. counterpart on Friday, giving back some of this week’s gains, as the potential for an imminent Russian attack on Ukraine triggered a selloff in risk-sensitive assets.

Wall Street tumbled and safe-havens such as U.S. Treasuries and the U.S. dollar rallied after Washington said Russia has massed enough troops near Ukraine to launch a major invasion.

“It’s a flight to safety trade and that always works in favor of the U.S. dollar,” said Amo Sahota, director at Klarity FX in San Francisco.

“I would be a little concerned about having open positions over the course of the weekend.”

The Canadian dollar was trading 0.2% lower at 1.2742 to the greenback, or 78.78 U.S. cents, after trading in a range of 1.2670 to 1.2754. For the week, the loonie was up 0.2%.

Still, the loonie fell by much less than some other currencies on Friday, as escalating Ukraine tensions added to concern about tight supply in the market for oil, one of Canada’s major exports. U.S. crude oil futures settled 3.6% higher at $93.10 a barrel.

Meanwhile, Canada’s Ontario province declared a state of emergency and threatened to fine and jail protesters who have been blocking a key U.S. trade corridor for four days.

The disruption to trade could weigh on Canadian economic activity in the first quarter but is unlikely to derail an interest rate hike next month by the Bank of Canada, say analysts.

“The latest disruptions will raise prices and lead to shortages of some goods,” said Royce Mendes, head of macro strategy at Desjardins. “Monetary policy will be guided by inflation and inflation expectations.”

Canadian government bond yields fell across the curve, tracking the move in U.S. Treasuries. The 10-year was down 7.6 basis points at 1.861.

(Reporting by Fergal Smith, Editing by William Maclean and Chizu Nomiyama)

Economy

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

Published

21 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

1 day 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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