BLBG:Canada Dollar Touches Lowest in Three Years on Rate Outlook
The Canadian dollar fell to the lowest level in more than three years amid speculation the chances of a cut in the Bank of Canada’s benchmark lending rate are rising.
The currency depreciated for a third day before a central-bank meeting tomorrow, when policy makers are projected to hold the benchmark interest rate at 1 percent. A report last week showed third-quarter economic growth was the fastest in two years even as exports fell, frustrating the Bank of Canada’s expectations for trade to drive growth as over-indebted consumers pare back.
The loonie, as the Canadian dollar is known for the image of the waterfowl on the C$1 coin, dropped as low as C$1.0664 per U.S. dollar in Toronto, the least since August 2010.
To contact the reporter on this story: Ari Altstedter in Toronto at aaltstedter@bloomberg.net
To contact the editor responsible for this story: Dave Liedtka at dliedtka@bloomberg.net
