Loonie Falls to New Lows Amid Strengthening US Dollar and Tight Oil Supplies

The Canadian dollar continues to weaken against its US counterpart as the Loonie fell to new lows on Thursday morning. The currency was trading at US$0.7021 or C$1=US$1.4240, a decline from Tuesday's close of US$0.7048 or C$1=US$1.4188.

The US Dollar Index also rose by 0.389 of a point to 101.590. The strengthening of the US dollar is attributed in part to the suspension of oil exports by China, which has tightened global supplies and pushed up crude oil prices.

West Texas Intermediate rose 31 cents to US$90.73 per barrel, while Brent crude added US$1.83 at US$99.86. The TSX/S&P Composite Index was down 90.10 points on Thursday morning at 35,122.80. Gold also saw an increase of US$12.60 at US$4,199.40 per ounce.