Loonie Drops as BoC Rate Decision Looms Amid Rising Oil Prices
The Canadian dollar is experiencing a slight downturn as trading shifts ahead of the Bank of Canada's interest rate announcement on Wednesday. Analysts predict that the BoC will maintain its current interest rate of 2.25 per cent.
As of Tuesday morning, the Loonie dipped below US$1=C$1.72, with a value of US$0.7198 or C$1.3892 compared to Monday's close of US$0.7212 or C$1.3866.
The U.S. Dollar Index rose 0.200 of a point to 99.585. Crude oil prices continued to increase due to rising tensions between the U.S. and Iran, with West Texas Intermediate advancing US$2.48 to US$88.24 per barrel and Brent crude rising US$2.23 to US$92.72.
The TSX/S&P Composite Index lost 236.96 points on Tuesday morning, closing at 36,033.52. Gold prices dropped US$93.9 to US$4,387.60 per ounce.