By Commodity News Service Canada
WINNIPEG, April 12 (CNS Canada) The Canadian dollar was stronger Wednesday morning, as the currency reacted to the Bank of Canada’s latest interest rate announcement.
At 9:12 CDT Wednesday morning the Canadian dollar was at US$0.7523 or C$1.3293 which compares with Tuesday’s North American close of US$0.7501 or C$1.3332.
The Bank of Canada held its key overnight rate unchanged at 0.5 per cent in a policy announcement Wednesday morning, as had been widely expected. In the accompanying statement the Bank raised its growth forecast for 2017 to 2.5 per cent, from 2.1 per cent.
However, gross domestic product growth is expected to moderate in 2018 to just under two per cent.
“Global economic growth is strengthening and becoming more broadly-based than the Bank had expected in its January Monetary Policy Report, although there is still considerable uncertainty about the outlook,” said the Bank.
The TSX was down by 25.01 points at 9:12 CDT to sit at 15,702.01.