Loonie Slips Below 72 Cents Ahead of Bank of Canada Rate Decision

The Canadian dollar is experiencing a slight dip ahead of the Bank of Canada's interest rate announcement on Wednesday. As of Tuesday morning, the loonie was trading at US$0.7198 or US$1=C$1.3892, down from Monday's close of US$0.7212 or US$1=C$1.3866.

Analysts believe that the Bank of Canada will maintain its current interest rate of 2.25 per cent when it makes its announcement on Wednesday. The Canadian dollar is sensitive to changes in interest rates, which can have a significant impact on the currency's value.

In other market news, crude oil prices continue to rise due to increased tensions between the US and Iran. West Texas Intermediate advanced US$2.48 at US$88.24 per barrel, while Brent crude rose US$2.23 at US$92.72.