By Commodity News Service Canada
Winnipeg, March 12 – The Canadian dollar dropped below 90 US cents at 11:39 CDT Wednesday, undermined by risk aversion due to concerns about Chinese economic growth.
Data released over the weekend showed that exports dropped 18.1 per cent in February, slowing inflation in China.
At 11:55 CDT Wednesday, the Canadian dollar was trading at US$0.8992, or US$1=C$1.1113, which compares with Tuesday’s North American close of US$0.9006, or US$=C$1.1103.
Weakness in crude oil values, due to the concerns about China’s economy, also weighed on the loonie, though strength in gold prices limited the downside.
There was no significant Canadian economic data release on Wednesday. Traders were looking ahead to Thursday’s release of US retail sales data.
The Toronto Stock Exchange was up 21.99 points, or 0.15%, at 11:55 CDT Wednesday, to sit at 14,289.22.
