Canadian Financial Close: Loonies eases back a little bit
Compiled by MarketsFarm
WINNIPEG, May 31 (MarketsFarm) - The Canadian dollar dipped
slightly on Wednesday in trying to hold its own against lower
crude oil prices. A stronger Canadian economy helped to fend off
further declines.
The loonie closed at US$0.7351 or US$1=C$1.3603, compared to
Monday's finish of US$0.7354 or US$1=C$1.3598. On the U.S.
Dollar Index, the greenback nudged up 0.047 of a point at
104.125.
Benchmark crude oil prices slid further back on Wednesday as
China's economy remained sluggish and trade worries about more
interest rate hikes by the U.S. Federal Reserve. As well,
analysts have largely written off any chance of 23-member OPEC+
alliance cutting their oil production in June.
Brent crude oil shed 88 cents at US$72.66 per barrel and West
Texas Intermediate (WTI) lost US$1.44 at US$68.02/barrel.
While the Canadian economy performed better than expected in the
first quarter of 2023, at an annualized rate of 3.1 per cent,
according to Statistics Canada, analysts said they are now
concerned with the Bank of Canada resuming its interest rate
hikes. Canada's central bank is scheduled to make its next rate
announcement on June 7.
The TSX Composite Index gave up 167.46 points on Wednesday at
19,572.24.
Gold added US$4.70 at US$1,981.80 per ounce.
Canada's agricultural sector fared as follows:
Buhler Industries up $ 0.08 at $ 2.22
Farmers Edge Inc. unchanged at $ 0.185
Linamar Corp. dn $ 2.86 at $ 60.10
Maple Leaf Foods up $ 0.44 at $ 24.98
Nutrien Ltd. dn $ 2.48 at $ 71.52
Ritchie Bros Auctioneers Inc. dn $ 1.21 at $ 70.91
(All figures are in Canadian dollars.)
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