Skip to main content
The Globe and Mail
Support Quality Journalism.
The Globe and Mail
First Access to Latest
Investment News
Collection of curated
e-books and guides
Inform your decisions via
Globe Investor Tools
per week
for first 24 weeks

Enjoy unlimited digital access
Enjoy Unlimited Digital Access
Get full access to
Just $1.99 per week for the first 24 weeks
Just $1.99 per week for the first 24 weeks
var select={root:".js-sub-pencil",control:".js-sub-pencil-control",open:"o-sub-pencil--open",closed:"o-sub-pencil--closed"},dom={},allowExpand=!0;function pencilInit(o){var e=arguments.length>1&&void 0!==arguments[1]&&arguments[1];select.root=o,dom.root=document.querySelector(select.root),dom.root&&(dom.control=document.querySelector(select.control),dom.control.addEventListener("click",onToggleClicked),setPanelState(e),window.addEventListener("scroll",onWindowScroll),dom.root.removeAttribute("hidden"))}function isPanelOpen(){return dom.root.classList.contains(}function setPanelState(o){dom.root.classList[o?"add":"remove"](,dom.root.classList[o?"remove":"add"](select.closed),dom.control.setAttribute("aria-expanded",o)}function onToggleClicked(){var l=!isPanelOpen();setPanelState(l)}function onWindowScroll(){window.requestAnimationFrame(function() {var l=isPanelOpen(),n=0===(document.body.scrollTop||document.documentElement.scrollTop);n||l||!allowExpand?n&&l&&(allowExpand=!0,setPanelState(!1)):(allowExpand=!1,setPanelState(!0))});}pencilInit(".js-sub-pencil",!1); // via darwin-bg var slideIndex = 0; carousel(); function carousel() { var i; var x = document.getElementsByClassName("subs_valueprop"); for (i = 0; i < x.length; i++) { x[i].style.display = "none"; } slideIndex++; if (slideIndex> x.length) { slideIndex = 1; } x[slideIndex - 1].style.display = "block"; setTimeout(carousel, 2500); } //

The Canadian dollar weakened against its U.S. counterpart on Thursday to approach the previous day’s three-week low, weighed by a cautious Bank of Canada and as investors assessed the progress of talks to seal a NAFTA trade deal.

At 4 p.m., the Canadian dollar was trading 0.2 percent lower at $1.2883 to the greenback, or 77.62 U.S. cents.

The currency traded in a range of $1.2823 to $1.2885. On Wednesday, the loonie touched its weakest point in more than three weeks at $1.2897.

Story continues below advertisement

High-level talks to update the North American Free Trade Agreement are going slowly, Mexican Economy Minister Ildefonso Guajardo said, adding the process was “not easy.”

“My general view is that Canada (dollar) is going to be less responsive than Mexico (peso) to any NAFTA news,” said Alvise Marino, FX strategist at Credit Suisse in New York.

The Bank of Canada’s tendency to highlight headwinds for the economy is the factor most pressuring the loonie, Marino said.

The Canadian dollar has declined 2.6 percent since the central bank last week held its benchmark interest rate steady at 1.25 percent and said it did not know when or how aggressive it would need to be to keep inflation in check.

The U.S. dollar was boosted by a weaker euro, after ECB President Mario Draghi hailed “solid” euro zone growth but kept rates unchanged.

The price of oil, one of Canada’s major exports, was supported by the risk of renewed U.S. sanctions on Iran, plunging Venezuelan output and robust global demand.

U.S. crude oil futures settled 0.2 percent higher at $68.19 a barrel.

Story continues below advertisement

Canadian average weekly earnings of non-farm payroll employees rose 3.4 percent in February compared with the same month last year, led by the accommodation and food services sectors, Statistics Canada said.

Canadian government bond prices were higher across the yield curve in sympathy with U.S. Treasuries as buyers emerged following a week-long selloff spurred by concerns about rising inflation and growing borrowing by the U.S. government.

The two-year rose 3.8 cents to yield 1.912 percent and the 10-year climbed 30.3 cents to yield 2.353 percent.

Still, the 10-year yield touched its highest intraday level since Feb. 15 at 2.379 percent.

Report an error
Tickers mentioned in this story
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to If you want to write a letter to the editor, please forward to
Comments are closed

We have closed comments on this story for legal reasons or for abuse. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies