AIRLINK 74.00 Decreased By ▼ -0.25 (-0.34%)
BOP 5.14 Increased By ▲ 0.09 (1.78%)
CNERGY 4.55 Increased By ▲ 0.13 (2.94%)
DFML 37.15 Increased By ▲ 1.31 (3.66%)
DGKC 89.90 Increased By ▲ 1.90 (2.16%)
FCCL 22.40 Increased By ▲ 0.20 (0.9%)
FFBL 33.03 Increased By ▲ 0.31 (0.95%)
FFL 9.75 Decreased By ▼ -0.04 (-0.41%)
GGL 10.75 Decreased By ▼ -0.05 (-0.46%)
HBL 115.50 Decreased By ▼ -0.40 (-0.35%)
HUBC 137.10 Increased By ▲ 1.26 (0.93%)
HUMNL 9.95 Increased By ▲ 0.11 (1.12%)
KEL 4.60 Decreased By ▼ -0.01 (-0.22%)
KOSM 4.83 Increased By ▲ 0.17 (3.65%)
MLCF 39.75 Decreased By ▼ -0.13 (-0.33%)
OGDC 138.20 Increased By ▲ 0.30 (0.22%)
PAEL 27.00 Increased By ▲ 0.57 (2.16%)
PIAA 24.24 Decreased By ▼ -2.04 (-7.76%)
PIBTL 6.74 Decreased By ▼ -0.02 (-0.3%)
PPL 123.62 Increased By ▲ 0.72 (0.59%)
PRL 27.40 Increased By ▲ 0.71 (2.66%)
PTC 13.90 Decreased By ▼ -0.10 (-0.71%)
SEARL 61.75 Increased By ▲ 3.05 (5.2%)
SNGP 70.15 Decreased By ▼ -0.25 (-0.36%)
SSGC 10.52 Increased By ▲ 0.16 (1.54%)
TELE 8.57 Increased By ▲ 0.01 (0.12%)
TPLP 11.10 Decreased By ▼ -0.28 (-2.46%)
TRG 64.02 Decreased By ▼ -0.21 (-0.33%)
UNITY 26.76 Increased By ▲ 0.71 (2.73%)
WTL 1.38 No Change ▼ 0.00 (0%)
BR100 7,874 Increased By 36.2 (0.46%)
BR30 25,596 Increased By 136 (0.53%)
KSE100 75,342 Increased By 411.7 (0.55%)
KSE30 24,214 Increased By 68.6 (0.28%)

TORONTO: The Canadian dollar strengthened against its US counterpart on Wednesday, rebounding from a two-week low the day before, as investors cheered signs that central banks are making progress against inflation.

Shares and bonds rallied worldwide and the safe-haven US dollar fell against a basket of major currencies as a lower inflation reading from France raised hopes that interest rate hikes might be less aggressive than feared.

It follows encouraging German inflation data earlier in the week.

Minutes from the US Federal Reserve’s December meeting, due at 2 p.m. ET (1900 GMT), could offer further clues on the interest rate outlook.

The Canadian dollar was trading 1.1% higher at 1.3520 to the greenback, or 73.96 US cents, after trading in a range of 1.3512 to 1.3680. On Tuesday, it touched its weakest intraday level since Dec. 20 at 1.3685.

The loonie gained ground despite pressure on the price of oil, one of Canada’s major exports.

US crude oil futures were down 2.4% at $75.08 a barrel on concerns about weak demand due to the state of the global economy and China’s rising COVID cases.

Investors were also awaiting Canadian jobs data, set for release on Friday, to see if Bank of Canada interest rate hikes have worked to slow the domestic economy.

Money markets see a 60% chance that the central bank would tighten by 25 basis points at its next policy decision on Jan. 25.

Canadian government bond yields were lower across the curve, tracking the move in US Treasuries and German Bunds.

The 10-year eased 4.8 basis points to 3.136%, extending its pullback from Friday’s seven-week high of 3.357%.

Comments

Comments are closed.