The Canadian dollar weakened to a 14-month low against \u2060its U.S. \u200bcounterpart on Friday, weighed by recent oil price declines and after domestic retail sales data pointed to subdued underlying demand.<\/p>\n
The loonie was trading 0.3 per cent lower at 1.4180 per U.S. dollar, or 70.52 U.S. cents, \u200bheading for its seventh straight daily decline. The \u200ccurrency touched its weakest intraday level since April last year at 1.4183.<\/p>\n
For the week, it was down 1.3 per cent as the U.S. Federal Reserve\u2019s hawkish message led to broad-based gains for the U.S. dollar.<\/p>\n
Canada\u2019s retail sales grew by \u200c0.5 per cent in \u200bApril from March \u200cbut core sales, which exclude gasoline stations, fuel vendors, and motor vehicle and \u200bparts dealers, were down for a second \u2060straight month, falling 0.7 per cent. A preliminary estimate showed sales up \u20601 per cent in May.<\/p>\n
\u201cApril\u2019s report suggests that inflation continued to support nominal retail sales, while underlying \u200bdemand remained subdued,\u201d Maria Solovieva, an economist at TD Economics, said in a note.<\/p>\n
\u201cWith higher energy prices weighing on purchasing power through much of the quarter, we expect consumer spending growth to moderate to a +0.5 per cent q\/q (quarter-over-quarter) annualized pace in Q2, following the more \u2060robust +1.5 per cent recorded in Q1,\u201d Solovieva said.<\/p>\n
In addition to higher energy prices, Canadian consumers have had to contend with trade uncertainty and a downturn in the housing market, while investors have dialed back in recent weeks their bets on Bank of Canada interest rate hikes this year.<\/p>\n
\u201cWith \u2060the war premium draining out of oil \u200band the Fed leaning hawkish, we expect USD-CAD to hold its gains \u2060above 1.40 into the weekend,\u201d analysts at Monex Europe said in a note.<\/p>\n
The U.S. price \u200cof oil, one of Canada\u2019s major exports has fallen about 9 per cent since last \u200bFriday. Israel and Hezbollah agreed to a ceasefire, easing concerns over disruptions to Middle East oil supplies and raising hopes of broader de-escalation involving the United States and Iran.<\/p>\n
Canadian bond yields were mixed \u200bacross a steeper curve, with the 10-year up 1.8 basis points at 3.392 per cent<\/p>\n","protected":false},"excerpt":{"rendered":"The Canadian dollar weakened to a 14-month low against \u2060its U.S. \u200bcounterpart on Friday, weighed by recent oil…\n","protected":false},"author":2,"featured_media":657437,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[901,888,902,879,877,903,45,49,48,876,895,896,891,878,875,46,549,295,894,887,914,880,881,893,889,890,884,904,885,909,910,912,907,911,905,908,882,898,899,714,897,906,865,61,900,892,886,883,913],"class_list":["post-747812","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-alberta","tag-arts-news","tag-bc","tag-breaking-news","tag-breaking-news-video","tag-british-columbia","tag-business","tag-ca","tag-canada","tag-canada-news","tag-canada-sports","tag-canada-sports-news","tag-canada-trafficcanada-weather","tag-canadian-breaking-news","tag-canadian-news","tag-economy","tag-education","tag-environment","tag-federal-government","tag-foreign-news","tag-globe-and-mail","tag-globe-and-mail-breaking-news","tag-globe-and-mail-canada-news","tag-government","tag-life-news","tag-lifestyle","tag-local-news","tag-manitoba","tag-national-news","tag-new-brunswick","tag-newfoundland-and-labrador","tag-northwest-territories","tag-nova-scotia","tag-nunavut","tag-ontario","tag-pei","tag-photos","tag-political-news","tag-political-opinion","tag-politics","tag-politics-news","tag-quebec","tag-sports-news","tag-technology","tag-travel","tag-trudeau","tag-us-news","tag-world-news","tag-yukon"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/747812","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=747812"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/747812\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/657437"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=747812"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=747812"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=747812"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}