A Canadian dollar coin, commonly known as the "Loonie", is pictured in this illustration picture taken in Toronto in this January 23, 2015, file photo. The Canadian dollar pared earlier session losses against its U.S. counterpart on Tuesday, strengthening after data showed January growth was better than feared. REUTERS/Mark Blinch/FilesMARK BLINCH/Reuters
The Canadian dollar closed at 75.47 cents (U.S.) on Wednesday, down 0.26 cents from Tuesday.
The Bank of Canada's announcement that the overnight lending rate was holding steady at 0.5 per cent had little impact on the loonie, which strengthened after the announcement but closed down slightly by the end of the day.
Around the world equity, markets have been going through a bit of recovery this week. This improved investor risk sentiment has fed through to currency markets. Most G10 currencies, except the Japanese yen and Swiss franc, have pushed higher versus the U.S. dollar.
The loonie remained unaffected as the price of oil fell again on Wednesday. West Texas Intermediate (WTI) Crude closed at $44.15 (U.S.), off $1.79 from Tuesday.
On Thursday, Statistics Canada releases figures for new homes. The new housing price index could show how lower interest rates continue to affect the real estate market.
Next week, the U.S. Federal Reserve makes its rate announcement. There are still mixed views if they will raise rates or not.
-------
Click here for the Report on Business currency converter.
The Globe and Mail receives compensation from CanadianForex Ltd. for referred use of their international money transfer service.