Loonie Hits One-Week Low as US Dollar Strength Continues
The Canadian dollar experienced a modest decline against the US dollar on Thursday, reaching its lowest point in nearly a week.
The loonie traded at C$1.3885 per USD, down about 0.06% from the previous session's levels, and held close to the one-week low of C$1.3892 set on August 19.
The pressure on the Canadian currency came mainly from the strength of the US dollar, which was boosted by recent data showing a rise in personal consumption expenditures price index to 3.7% year over year and an annualized 1.5% economic growth in the second quarter.
Investors are positioning for Federal Reserve Chair Kevin Warsh's appearance at the Jackson Hole symposium, where he may provide clues about how policymakers view persistent inflation and the path for borrowing costs.