Canadian Dollar Surges on Tariff Delay and Pipeline Revival

The Canadian dollar strengthened on Wednesday morning after US President Donald Trump announced that he would pause implementing tariffs against Canada. The move was seen as a positive development for the country's economy, with the loonie trading at US$0.7229 or $1=C$1.3833 by 8:43am CDT.

The decision to delay the tariffs, which were set to take effect on Wednesday, came after Trump announced that a deal between the two countries was reached and waiting for finalization. He also tweeted about reviving the Keystone XL pipeline project.

Canadian Prime Minister Mark Carney released a statement saying that 'substantial progress has been made, although there is important work still to be done.' The TSX index rose 366.14 points to trade at 36,734.07 by 8:43am CDT, while crude oil prices were also firmer with West Texas Intermediate up 0.5% at US$84.50 per barrel.