WINNIPEG – The Canadian dollar eased off on Wednesday after the release of a report from Statistics Canada.
As of 8:42 a.m. CDT, the loonie was at US$0.7718 or US$1=C$1.2957, compared to US$0.7735 or US$1=C$1.2929 on Tuesday. The central data agency reported on Wednesday that inflation rose in May to its highest level since 1983 at 7.7 per cent, exceeding economists’ average estimate of 7.3 per cent. Gas prices rose by 12 per cent in the month of May and 48 per cent year-over-year.
The U.S. Dollar Index was down 0.11 of a point at 104.33.
Crude oil prices were in a sharp downturn on Wednesday over recession fears. Brent crude oil dropped US$6.72 per barrel to US$107.93. West Texas Intermediate (WTI) fell US$7.01 at US$102.51/barrel. Western Canadian Select (WCS) declined US$6.37 to US$84.06/barrel.
After the release of the StatCan report, the TSX/S&P Composite Index plunged 312.45 points to 18,944.84.
Gold is up US$3.30 per ounce to US$1,842.10.
