CANADA FX DEBT-C$ ends stronger after trade deficit narrows

Thu Mar 7, 2013 4:53pm EST
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* C$ ends at C$1.0294 to US$, or 97.14 U.S. cents

* Canada trade deficit narrows while U.S. gap widens

* Jobs data on Friday eyed for direction

By Alastair Sharp

TORONTO, March 7 (Reuters) - The Canadian dollar strengthened against the U.S. dollar on Thursday after data showed Canada's trade deficit narrowed in January as exports grew at a faster rate than imports.

The currency also benefited from the greenback's fall versus the euro after European Central Bank President Mario Draghi gave no indication the bank would cut euro-zone interest rates further.

"Dollar/Canada moved on the coattails of the euro movement," said Matt Perrier, a managing director of foreign exchange sales at BMO Capital Markets.

The loonie, as Canada's currency is known colloquially, has weakened sharply in recent weeks to trade above C$1.03 to the U.S. dollar after changing hands at equal value in mid-February.   Continued...