By Commodity News Service Canada
WINNIPEG, June 3 – The Canadian dollar was weaker against the US dollar on Wednesday, following the softer tone in crude oil prices, analysts said.
The Canadian dollar closed at US$0.8030 or US$1=C$1.2453 on Wednesday, which compares with Tuesday’s North American settlement of US$0.8059 or US$1=C$1.2408.
Disappointing Canadian economic data was also bearish. Statistics Canada said the international trade deficit declined to C$3.0 billion in April, but revised the March figure higher to C$3.9 billion, the highest ever.
Though, the losses were limited by positive news out of Greece. The European country and its creditors reportedly reached a deal on terms for a bailout on Tuesday.
Canadian bonds were weaker, reacting to the positive Greek news, and some better than expected economic data out of the US, brokers said.
The two-year bond yielded 0.611% Wednesday, from 0.592% late Tuesday. The 10-year bond yield was at 1.794%, from 1.708%. Bond yields fall as their prices rise.
