Economy

Canadian dollar slips as seasonal trade shifts in favor of greenback

Published

3 years ago

May 5, 2021

By Fergal Smith

TORONTO (Reuters) – The Canadian dollar weakened against its U.S. counterpart on Tuesday as the greenback broadly climbed and data showed Canada‘s trade balance swinging to a surprise deficit in March, with the loonie pulling back from a 3-year high.

The Canadian dollar was trading 0.2% lower at 1.2306 to the greenback, or 81.26 U.S. cents, having traded in a range of 1.2274 to 1.2350.

Last Friday, the loonie touched its strongest intraday level since February 2018 at 1.2262. It was up 2.2% last month and has now strengthened in eight of the past 10 Aprils.

“Given that the (U.S.) dollar has been so badly beaten in April, I think you see some of that pared back and part of that may be related to the seasonal dynamics,” said Mazen Issa, senior FX strategist at TD Securities. “May tends to be a much stronger month for the dollar.”

The greenback rallied against a basket of major currencies after U.S. Treasury Secretary Janet Yellen said interest rates may need to rise to prevent the American economy from overheating.

The price of oil, one of Canada‘s major exports, settled 1.9% higher at $65.69 a barrel after more U.S. states eased lockdowns and the European Union sought to attract travelers.

Canada‘s trade balance shifted back to a deficit of C$1.1 billion in March following two consecutive months of surplus as imports jumped significantly and exports edged up slightly, Statistics Canada said. Analysts had predicted a surplus of C$700 million.

Separate data showed that the value of Canadian building permits rose by 5.7% in March from February.

Canadian government bond yields were higher across the curve, with the 10-year up 1.3 basis points at 1.535%.

(Reporting by Fergal Smith; Editing by Andrea Ricci and Peter Cooney)

Economy

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

Published

3 days 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

3 days 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

4 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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