Loonie loses ground after BoC interest rate decision

Sep 7, 2016

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The Canadian dollar lost ground today as the central bank struck a cautious note on the economy while announcing it was keeping its interest rate steady at 0.5 per cent.

The loonie fell 0.32 of a cent to 77.52 cents U.S. after the Bank of Canada raised concerns due to the disappointing export sector in the second quarter.

In Toronto, the S&P/TSX composite index fell 16.27 points at 14,796.75, with most sectors ending in the red and consumer staples and telecom leading the declines.

On Wall Street, the Dow Jones industrial average lost 11.98 points at 18,526.14, while the broader S&P 500 composite index shed 0.32 of a point to 2,186.16.

The Nasdaq composite set a record close as it jumped 8.02 points to 5,283.93 after tech giant Apple Inc. unveiled the specifications for the iPhone 7.

Commodities were mixed as the October crude contract added 67 cents at US$45.50 per barrel and October natural gas was down four cents at US$2.68.

The December gold contract fell $4.80 to US$1,349.20 an ounce while December copper contracts were up a penny to US$2.10 a pound.