By Commodity News Service Canada
Winnipeg, June 27 The Canadian dollar remained unchanged Friday due to economic concerns in the U.S. and mixed commodity prices, analysts say.
At 9:01 CDT Friday morning, the Canadian dollar was flat at US$0.9352 or US$ = C$1.0707.
Low prices for energy and petroleum products had Statistics Canada’s Industrial Product Price down 0.5 per cent in May. Diesel fuel, light fuel oils and gasoline were the major reasons for decline in this commodity group, traders say.
Ideas that the University of Michigan’s consumer sentiment index could rise to 81.9 from an earlier estimate of 81.2 could help reassure traders after this week’s higher than expected gross domestic product contraction of 2.9 per cent. This was almost a full per cent point higher than expected. Markets had originally dismissed the data on expectations that the American economy would jump ahead in the second quarter due to the severe winter weather.
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For reassurance that the economy is on track for a strong second quarter, traders will be looking to key economic data next week including the June reading on the manufacturing sector from the Institute of Supply Management and the release of the U.S. government’s June employment report.
August crude oil prices dropped 29 cents to sit at US$105.55 a barrel, while August gold bullion rose $1.40 to sit at US$1.318.40 an ounce. September copper remained unchanged at US$3.17 a pound.
The TSX was up 20.85 points to 15,051.59 at 9:01 CDT Friday morning.
