By MarketsFarm
WINNIPEG, Sept. 19 (MarketsFarm) – The Canadian dollar was stronger on Tuesday, as rising inflation and gains in crude oil underpinned the currency.
At 8:35 a.m. CDT Tuesday morning the Canadian dollar was at US$0.7462 or US$1=C$1.3401, which compares with Monday’s close of US$0.7412 or US$1=C$1.3491.
Canada’s consumer price index was up by 4.0 per cent on an annual basis in August, which compares with the 3.3 per cent inflation reported the previous month. Excluding gasoline, the CPI was up by 4.1 per cent in August.
The United States Federal Open Market Committee (FOMC) begins its latest meeting later today, with a decision on interest rates expected Wednesday. It’s generally expected that the Federal Reserve will hold rates steady, although the accompanying statement will be followed closely for signs of future monetary policy.
Crude oil was stronger, with West Texas Intermediate up by 1.96 per cent at US$93.27 per barrel.
The TSX was weaker, down by 66.08 points at 8:35 CDT, trading at 20,427.49 points.
