Loonie Surges as Bank of Canada Holds Overnight Rate

The Canadian dollar experienced a reversal in fortunes on Wednesday morning after the Bank of Canada announced it would keep its overnight rate at 2.25 per cent.

This decision sent the Loonie climbing higher, with the currency valued at US$0.7209 or US$1=C$1.3872 by 8:55 am CDT.

In comparison to Tuesday's close of US$0.7196 or US$1=C$1.3896, this represents a slight increase for the Canadian dollar.

The United States Dollar Index slipped 0.132 of a point at 99.510 in response to the rate announcement.