Ahead of the release of Canada’s Ivey Purchasing Managers Index, the commodity-driven currency slumped against a broadly softening Pound and weakened against the US Dollar.
The Canadian Dollar Exchange Rate was in the region of 0.6190 against the British Pound as of 16:00 GMT
With Sterling buoyed following the Bank of England’s inflation report, the ‘Loonie’ was already on the back foot before Canadian building permits figures were released.
The data showed that permits declined for the first time this year in June, with the value of permits dropping 10.3 per cent rather than the 2.8 per cent drop expected.
May’s figure was revised to a gain of 5.8 per cent.
The CAD/GBP exchange rate hit a low of 0.6169
The Canadian Dollar’s declines were exacerbated by the news that the price of Western Canada heavy oil, a major export, fell and the currency hit a three-week low against its US rival.
In response to the ‘Loonies’ movement foreign exchange strategist Charles St-Arnaud commented: ‘We’re getting less dollars for each barrel than we were previously. That means less flows, less US Dollars that need to be converted into Canadian Dollars, so that’s reduced demand for the Canadian Dollar.’
Canada’s economic outlook received an additional ding when the nation’s Ivey PMI unexpectedly declined in July.
The index plummeted from 55.3 in June to 48.4 in July, below the 50 mark separating growth from contraction, and saw the ‘Loonie’ consolidate losses.
Canada’s new housing price index is the piece of domestic news to look out for tomorrow, but US initial jobless claims figures will also be responsible for market movement.
Current Canadian Dollar (CAD) Exchange Rates:
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The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9607 <
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7210 <
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6190 <
The Canadian Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0697 <
The Canadian Dollar /New Zealand Dollar Exchange Rate is currently in the region of: 1.2155 <
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.6150 >
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0410 >
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.3857 >
The New Zealand Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.8171 >
The Australian Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.9351 >
(Correct as of 16:00 GMT)
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