By Commodity News Service Canada
Winnipeg, Dec 9 – The Canadian dollar was stronger relative to the US dollar at midday Tuesday, seeing an upward correction following recent sharp declines, analysts said.
At 11:45 CST Tuesday, the Canadian dollar was trading at US$0.8743 or US$1=C$1.1438, which compares with Monday’s North American close of US$0.8709 or US$1=C$1.1482.
General weakness in the value of the US dollar was also supporting the loonie, as was strength in commodity prices, including gold and crude oil.
However, ongoing worries about slow economic growth in China after a disappointing trade data report on Monday, limited the upside.
Ideas that the US will raise interest rates before the Bank of Canada does were also overhanging the Canadian currency, brokers said.
The Toronto Stock Exchange was down 50.52 points, or 0.36%, at 11:45 CST Tuesday, to sit at 14,093.65.
