By Commodity News Service Canada
WINNIPEG, MB, August 31, 2016 (CNS Canada) The Canadian dollar weakened against its US counterpart Wednesday morning as soft Canadian data continued to weigh on the currency.
Real gross domestic product (GDP) decreased 0.4 per cent in the second quarter, after increasing 0.6 per cent in the first quarter, according to Statistics Canada. This was the largest decline in quarterly GDP since the second quarter of 2009, weighing on the loonie.
The decline in crude petroleum output, which was due to continued weakness in the energy sector and the wildfire in Fort McMurray, weighed heavily on the real GDP this quarter.
At 8:56 CDT Wednesday, the Canadian dollar was at US$0.7625 or US$=C$1.3115, which compares with Tuesday’s North American close of US$0.7636 or US$1=C$1.3096.
The TSX was down 29.48 points, or 0.20 per cent, at 8:56 CDT Wednesday morning to sit at 14,655.37.
