Canada’s dollar advanced to the highest in two weeks against its U.S. counterpart before Bank of Canada policy makers meet to set interest rates. The currency along with the U.S. dollar underperformed higher-yielding currencies such as Australia’s on speculation Federal Reserve Chairman Ben S. Bernanke will hint at additional stimulus when he speaks to Congress today. The Bank of Canada will retain language in today’s statement that signals borrowing costs will eventually rise, analysts say. “It’s a very close call, but on balance the tightening bias probably stays,� Adam Cole, global head of foreign- exchange strategy at Royal Bank of Canada’s RBC Capital Markets, said by phone from London. “The Canadian dollar should benefit from that.� Canada’s currency, nicknamed the loonie, reached C$1.0129 per U.S. dollar, the strongest level since July 5, before trading little changed at C$1.0145 at 8:01 a.m. in Toronto. One Canadian dollar buys 98.57 cents. All 24 forecasters in a Bloomberg survey predict the Bank of Canada will leave its target rate unchanged at 1 percent. The decision is due at 9 a.m. in Ottawa. To contact the reporter on this story: Chris Fournier in Halifax at cfournier3@bloomberg.net To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net

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