WINNIPEG – The Canadian dollar took a tumble on Tuesday.
The loonie closed at US$0.7290 or US$1=C$1.3717, down from US$0.7345 or US$1=C$1.3615 on Monday. The Bank of Canada (BoC) will announce on Wednesday whether or not it will raise its key interest rate.
The United States Dollar Index jumped 1.27 points at 105.62.
Crude oil made a sharp downturn after U.S. Federal Reserve chair Jerome Powell indicated that key interest rate hikes would continue if the U.S. economy stayed strong. Brent crude oil fell US$3.05 per barrel to US$83.13. West Texas Intermediate (WTI) dropped US$3.09 at US$77.37/barrel. Western Canadian Select (WCS) lost US$3.33/barrel to US$61.89.
The TSX/S&P Composite Index shed 239.26 points to 20,275.54 due to weakness in the energy and base metal sectors.
Gold gave up US$35.50 at US$1,819.10 per ounce.
Canada’s agricultural sector fared as follows:
Buhler Ind. unchanged at $ 2.41
Farmer’s Edge Inc. dn $ 0.015 at $ 0.25
Linamar Corp. dn $ 0.38 at $ 76.29
Maple Leaf Foods up $ 0.17 at $ 28.12
Nutrien Ltd. dn $ 1.19 at $109.40
Ritchie Bros Auctioneers Inc. dn $ 0.17 at $ 82.72
(All figures are in Canadian dollars.)
