The Canadian dollar edged higher against its U.S. counterpart on Thursday but the currency was still down sharply in August as a slowdown in China’s economy pressured commodity-linked currencies.
74c to the USD. Ouch.
This is the best summary I could come up with:
“The laggards (in August) among G10 currencies are predominantly the commodity complex,” said Michael Goshko, senior market analyst at Convera Canada.
“A lot of that has to do with the ongoing issues with China and what that means for global growth and commodities demand.”
China’s manufacturing activity contracted for a fifth straight month in August, an official factory survey showed, fuelling concerns about weakness in the world’s second-biggest economy.
Canada’s second-quarter GDP report, due on Friday, is likely to show a sharp slowdown in economic growth, a Reuters poll of economists showed, which could lead the Bank of Canada to pause its interest rate hikes despite recent hotter inflation data.
The Canadian central bank is expected to hold its key interest rate steady at 5.00% on Sept. 6 and stay at that level through at least the end of March 2024, according to a majority of economists in a Reuters poll.
Canadian government bond yields were mixed across the curve, with the 10-year down 1 basis point at 3.566%.
The original article contains 294 words, the summary contains 169 words. Saved 43%. I’m a bot and I’m open source!
Gold, silver, bitcoin and monero FTW! (Not financial advice)