Market News
Canadian dollar hits 4-1/2-year low as yield spread weighs - REUTERS
By Fergal Smith
- Canadian dollar falls 0.2% against the greenback
- Touches a 4-1/2-year low at 1.4199
- Price of U.S. oil decreases 0.2>#/li###
- Bond yields rise across the curve
TORONTO, Dec 12 (Reuters) - The Canadian dollar weakened to a 4-1/2-year low against its U.S. counterpart on Thursday as the greenback notched broad-based gains and a recent widening in the gap between U.S. and Canadian bond yields weighed on the loonie.
The Canadian currency was trading 0.2% lower at 1.4190 per U.S. dollar, or 70.47 U.S. cents, after touching its weakest since April 2020 at 1.4199.
"The Canadian dollar's weakness is partly a function of the broad U.S. dollar strength," said Marc Chandler, chief market strategist at Bannockburn Global Forex LLC.
