WINNIPEG – After a jump on Tuesday, the Canadian dollar took a sharp downturn early Wednesday.
As of 8:39 a.m. CDT, the loonie was at US$0.8005 or US$1=C$1.2492, compared to Tuesday’s closing value of US$0.8031 or US$1=C$1.2451. The federal government will table its budget in the House of Commons on Thursday, which reportedly will include a surtax on financial institutions that made huge profits during the COVID-19 pandemic.
The United States Dollar Index lost 0.07 of a point at 99.41. Many analysts believe the Federal Reserve will look at a rise of 0.5 of a point in its key interest rate next month.
Benchmark crude oil prices were mixed, pulled by the COVID-19 lockdown in Shanghai and potential new sanctions against Russia by the European Union. Brent crude oil gained US$0.03 per barrel to US$106.67. Meanwhile, West Texas Intermediate (WTI) lost US$0.10 to US$101.86/barrel. Western Canadian Select (WCS) increased US$0.15 to US$89.09/barrel.
The TSX/S&P Composite Index fell 140.21 points to 21,790.62.
Gold added US$4.10 per ounce to US$1,931.60.
