WINNIPEG – The Canadian dollar retreated on Monday as the Omicron COVID-19 variant takes hold.
As of 9:06 a.m. CST, the loonie was at US$0.7728 or US$1=C$1.2940, compared to Friday’s close of US$0.7785 or US$1=C$1.2846.
The United States Dollar Index slipped back 0.17 of a point to 96.39. On Sunday, the proposed US$2 trillion tax-and-spend Build Back Better economic package was derailed after Democratic Senator Joe Manchin said he would not support the bill, threatening its passage.
Benchmark crude oil prices fell on Monday as the Omicron variant negatively affects demand. Brent crude oil dropped US$2.87 per barrel to US$70.65. West Texas Intermediate (WTI) declined US$3.58 to US$67.28/barrel. Western Canadian Select (WCS) retreated US$3.02 to US$52.68/barrel.
Manchin’s dissent has caused a shock in the markets as the TSX/S&P Composite Index fell 310.42 points at 20,428.77.
Gold was not immune to the downturn, losing US$7.20 per ounce to US$1,797.70.
