BLBG:Canadian Dollar Trades At Almost 2-Week Low Before Sales Report
Canada’s dollar traded at almost the lowest level in two weeks amid concern Europe’s debt crisis is worsening before a report today that forecasters predict will show retail sales rose in May after dropping in April.
The currency fluctuated against its U.S. counterpart, which rose along with the yen versus most of major peers on safety demand. Moody’s Investors Service cut its ratings outlook yesterday for Germany and the Netherlands and LCH Clearnet Ltd. raised the extra deposit it demands to trade some Spanish and Italian bonds.
“Globally, we’re seeing risk appetite being challenged, but in the euro zone it’s even more intense,” Ian Stannard, head of European currency strategy at Morgan Stanley in London, said in a telephone interview. “We expect the commodity currencies to come under pressure from signs of a global growth slowdown.”
Canada’s currency, nicknamed the loonie, was little changed at C$1.0187 per U.S. dollar at 7:52 a.m. in Toronto, after falling 0.6 percent yesterday, the most this month. One Canadian dollar buys 98.16 cents.
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
