BLBG:Canada’s Dollar Rises From Lowest in Almost Two Weeks Before Fed Meeting
Canada’s dollar rose from the lowest level in almost two weeks versus its U.S. counterpart before the Federal Reserve issues its policy statement.
The Canadian currency’s advance tracked gains in U.S. stock-index futures and commodities including crude oil. While Fed policy makers are probably preparing for a third round of large-scale asset purchases, they are unlikely to announce such a decision today, economists surveyed by Bloomberg News said.
“Risk assets are somewhat supported today,” said Camilla Sutton, a Bank of Nova Scotia currency strategist in Toronto, by e-mail. “There’s the risk of a hint of QE3 at today’s FOMC,” she said, referring to the Federal Open Market Committee and the potential for a third round of quantitative easing.
Canada’s currency gained 0.7 percent to C$1.0138 per U.S. dollar at 8:09 a.m. in Toronto. It touched C$1.0224, the weakest level since Oct. 20. One Canadian dollar buys 98.64 U.S. cents.
Standard & Poor’s 500 Index futures expiring in December rose 0.5 percent. Crude oil for December delivery gained 1.9 percent to $93.34 a barrel in New York.
To contact the reporter on this story: Chris Fournier in Halifax, Nova Scotia at cfournier3@bloomberg.net
To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net
