By Commodity News Service Canada
WINNIPEG, May 23 (CNS) – The Canadian dollar slumped
against its U.S. counterpart on Wednesday, as investors shied
away from risky assets amid ideas that surging bonds could halt
economic growth. Notes from a meeting of the U.S. Federal
Reserve, earlier this month, suggested interest rates are
nearing their target levels.
Losses in crude oil were offset by gains in gold bullion.
Canadian bonds jumped during the midweek session, boosted
by indications the U.S. Fed will allow inflation to climb above
two per cent.
The yield on the 10-year Canadian government bond traded at
2.437%, compared with 2.491% Tuesday.
The Canadian dollar settled Wednesday at US$0.7766 or
C$1.2876, compared to Tuesday’s North American close of
US$0.7821 or C$1.2786.
The S&P/TSX Composite Index fell 10.99 points, or 0.07%, to
16,133.80. Gains in metals and mining stocks helped mitigate the
losses.
Canada’s agricultural sector performed as follows:
AGT Food and Ingredients—–dn $ 0.39 at $ 16.15
Buhler Industries————– $ 0.00 at $ 3.75
Maple Leaf Foods————-up $ 0.09 at $ 29.29
Nutrien Ltd.—————–up $ 0.47 at $ 65.89
(All figures are in Canadian dollars.)
