Canadian dollar soars as Bank of Canada hikes interest rate

Canadian dollar soars as Bank of Canada hikes interest rate TORONTO – The Canadian dollar soared to a level not seen in nearly a year after the Bank of Canada announced it was hiking its key lending rate for the first time since 2010.The loonie was trading at an average price of 78.16 cents US, up 0.76 of a U.S. cent. The last time it closed above 78 cents US was in August 2016.In a highly anticipated move, the central bank says it’s raising its benchmark rate by a quarter of a percentage point to 0.75 per cent.In equities, the Toronto Stock Exchange’s S&P/TSX composite index was flat, dipping 5.15 points at 15,143.99 after climbing more than 100 points earlier in the session. The index was led by gains in Canada’s real estate and consumer staples sectors.In New York, the Dow Jones industrial average was up 123.07 points at 21,532.14, a record high. The S&P 500 index was ahead 17.72 points at 2,443.25, while the Nasdaq composite index climbed 67.87 points, or more than one per cent, to 6,261.17.In commodities, the August crude contract advanced 45 cents to US$45.49 and August gold gained $4.40 at US$1,219.10 an ounce.The September copper contract jumped a penny at US$2.68 a pound and August natural gas was down six cents to US$2.99 per mmBTU. by Sandra Prusina Posted Jul 12, 2017 2:41 pm MDT A Canadian dollar or loonie is pictured in North Vancouver, on March 5, 2014. The Canadian dollar is soaring to levels not seen in nearly a year after the Bank of Canada announced it was hiking its key lending rate for the first time since 2010.The loonie was trading at 78.70 cents US about four hours after the central bank’s announcement Wednesday, up more than 1.31 cents from Tuesday’s average price of 77.40 cents US. The last time the loonie had closed above 78 cents US was in August 2016. THE CANADIAN PRESS/Jonathan Hayward AddThis Sharing ButtonsShare to TwitterTwitterShare to FacebookFacebookShare to RedditRedditShare to 電子郵件Email