By Commodity News Service Canada
WINNIPEG, April 7 – The Canadian dollar finished firmer relative to the US dollar on Monday, reacting to a positive report from the Bank of Canada, analysts said.
The Bank of Canada released their quarterly business outlook survey, which revealed that the 100 firms who were surveyed last month showed very promising intentions to hire new employees.
The Canadian dollar closed at US$0.9116 or US$1=C$1.0969 on Monday, which compares with Friday’s North American settlement of US$0.9107 or US$1=C$1.0981.
Broad weakness in the value of the US dollar was also supportive for the Canadian currency, according to market watchers.
But, spillover pressure from the declines seen in crude oil and gold prices helped to limit the loonie’s upside.
Canadian bonds ended higher on Monday, following the advances seen in the US Treasury market, participants said.
The two-year bond yielded 1.083% late Monday, from 1.094% late Friday. The 10-year bond yielded 2.461%, from
2.493%. Bond yields fall as their prices rise.
