By MarketsFarm
WINNIPEG, May 6 (MarketsFarm) The Canadian dollar was weaker on Monday morning, among global market volatility and slumping oil prices.
At 8:45 CDT Monday morning, the Canadian dollar was at US$0.7420 or C$1.3457, which compares with Friday’s North American close of US$0.7447 or C$1.3429.
Crude oil prices took a tumble after United States President Donald Trump said he would sharply raise tariffs on Chinese imports in the weeks to come, calling to question if resolution will ever be found between the two global superpowers. Chinese trade negotiators are still travelling to Washington to meet on Wednesday, despite rising tension.
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West Texas Intermediate lost 21 cents to trade at US$61.73, and Brent Crude gained five cents to trade at US$70.90.
Trump’s tweets also sent stock markets into a tailspin, as investors attempt to reduce exposure to risk.
“Trump’s sudden hard line on China tariffs has spooked investors, who are scrambling to reduce their risk levels in the markets,” said Jasper Lawler, head of research at futures brokerage London Capital Group.
“The prospect of months of trade talks being derailed by Trump has raised concerns over future demand for oil,” he added.
The TSX lost at 8:45 CDT, down 98.94 points at 16,396.81.
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