Compiled by MarketsFarm
WINNIPEG, May 31 (MarketsFarm) – The Canadian dollar dipped slightly on Wednesday in trying to hold its own against lower crude oil prices. A stronger Canadian economy helped to fend off further declines.
The loonie closed at US$0.7351 or US$1=C$1.3603, compared to Monday’s finish of US$0.7354 or US$1=C$1.3598. On the U.S. Dollar Index, the greenback nudged up 0.047 of a point at 104.125.
Benchmark crude oil prices slid further back on Wednesday as China’s economy remained sluggish and trade worries about more interest rate hikes by the U.S. Federal Reserve. As well, analysts have largely written off any chance of 23-member OPEC+ alliance cutting their oil production in June.
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Brent crude oil shed 88 cents at US$72.66 per barrel and West Texas Intermediate (WTI) lost US$1.44 at US$68.02/barrel.
While the Canadian economy performed better than expected in the first quarter of 2023, at an annualized rate of 3.1 per cent, according to Statistics Canada, analysts said they are now concerned with the Bank of Canada resuming its interest rate hikes. Canada’s central bank is scheduled to make its next rate announcement on June 7.
The TSX Composite Index gave up 167.46 points on Wednesday at 19,572.24.
Gold added US$4.70 at US$1,981.80 per ounce.
Canada’s agricultural sector fared as follows:
Buhler Industries up $ 0.08 at $ 2.22 Farmers Edge Inc. unchanged at $ 0.185 Linamar Corp. dn $ 2.86 at $ 60.10 Maple Leaf Foods up $ 0.44 at $ 24.98 Nutrien Ltd. dn $ 2.48 at $ 71.52 Ritchie Bros Auctioneers Inc. dn $ 1.21 at $ 70.91
(All figures are in Canadian dollars.)
