BLBG:Canada Dollar Falls on Crude-Oil Drop, U.S. Government Shutdown
The Canadian dollar fell against the greenback as crude oil, the nation’s largest export, declined and the U.S. government shutdown entered a second week.
The currency was weaker against most of its 16 major peers as benchmark Canadian oil traded at the largest discount to U.S. crude since January. U.S. Speaker John Boehner said the House can’t pass an increase to the U.S. debt ceiling without packaging it with other provisions -- something President Barack Obama has labeled a nonstarter, adding to concern growth is slowing in Canada’s largest trading partner.
The loonie, nicknamed for the image of the aquatic bird on the C$1 coin, declined 0.3 percent to C$1.0325 per U.S. dollar at 8:18 a.m. in Toronto. One Canadian dollar buys 96.85 U.S. cents.
Crude-oil futures dropped 0.9 percent to $102.90 a barrel in New York. The discount for Canada’s benchmark Western Canada Select faced to West Texas Intermediate, its U.S. peer, was at $34.50 per barrel on Oct. 4, the most since Jan. 24.
To contact the reporter on this story: Paul Cox in New York at pcox16@bloomberg.net
To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net
