CANADIAN DOLLAR DOWN
According to REUTERS, the Canadian dollar weakened against a broadly stronger U.S. counterpart on Tuesday, with uncertainty about the resiliency of global economic growth in the face of a slower China and divided Europe weighing on the risk-sensitive loonie.
The Canadian dollar is expected to weaken further over the coming months as Britain's vote to leave the European Union boosts the U.S. dollar and with oil prices set to remain weak, a Reuters poll found.
"The U.S. is the king of the hill now, for the next little bit, where at least there's some certainty around the direction economically there," said Don Mikolich, executive director for foreign exchange sales at CIBC Capital Markets.
The Canadian currency, nicknamed the loonie, has fallen 0.7 percent since Britain's decision on June 23 to exit the EU and is down 3 percent since May 3 when it hit an 11-month high of C$1.2458.
It settled at C$1.3016 to the greenback, or 76.83 U.S. cents on Tuesday, weaker than the Bank of Canada's official Monday close of C$1.2856, or 77.78 U.S. cents.
The retreat followed five sessions of gains that had lifted the currency to a 10-day high on Monday, when U.S. markets were closed. Canadian markets were closed on Friday.
Overnight data from China showed that while the country's growing services sector saw activity rise to an 11-month high in June, a composite measure of activity including manufacturing fell to a four-month low.
Canadian government bond prices were higher across the maturity curve, with the two-year price up 5 Canadian cents to yield 0.493 percent and the benchmark 10-year jumping 49 Canadian cents to yield 0.994 percent.
The 10-year yield slumped as low as 0.961 percent during the session, its lowest since Feb. 11.
The equivalent U.S. bond yield hit an all-time low, as soft data from China added to worries about so-called Brexit.
Prices for oil, a major Canadian export, fell on concerns that demand could be dented by slower economic growth.
Canada's central bank, widely expected to hold rates steady next week, said on Monday that domestic business sentiment remained subdued in the second quarter, weighed by cheaper oil and modest domestic demand.
Corporate U.S. dollar buyers should hedge payables due in that currency, while greenback sellers should wait to hedge receivables, analysts at Scotiabank said in a note.
|September, 22, 09:20:00|
|September, 22, 09:15:00|
|September, 22, 09:10:00|
|September, 22, 09:05:00|
|September, 22, 09:00:00|
|September, 22, 08:55:00|
Instead, with the planned referendum just days away, Russian state oil giant Rosneft announced its latest investment last week, to help Iraqi Kurdistan develop its natural gas industry, for domestic supplies and eventual export.
Iran exported over 5 billion cubic meters (bcm) of natural gas during the first five months of the current Iranian calendar year (March 21-August 22), Dispatching director of National Iranian Gas Company (NIGC) announced.
Gazprom Neft has shipped its second and largest cargo of Iraqi crude to the US since the Badra field, its flagship overseas oil project, came on stream in 2014, the Russian oil company said Tuesday.
Qatargas has agreed to sell 1.5 million tpy of LNG to Turkey’s BOTAŞ Petroleum Pipeline Corporation (BOTAŞ) over a period of three years