Canadian dollar at more than 1-week low as risk rally fades

 

TORONTO (Reuters) - The Canadian dollar drifted back below parity against the U.S. dollar on Monday on its softest level in more than a week as concern that rising oil prices with economic recovery in riskier assets, could also prevent commodity currencies weighed.
While rising oil prices, concerns about supply disruptions from the Middle East spurred, the resource-linked Canadian dollar support, is worried about held its impact on U.S. and global growth investors cautious.
The currency is pursuing the broader movement in the overseas markets and the euro undermined optimism second offer of the European Central Bank from low-cost loans to banks in the euro zone.
"It's a very simple trade, as we see the Canadian dollar as risk appetite fades are burglary," said Adam Button, currency analyst at Forex Live in Montreal.
"The oil story is a lot of traction was the weekend, because we had such a sharp move up in oil, and it is certainly a reflection of the mood today, especially in the stock market," he added, noting that oil prices on Monday retracted.
At 08.03 clock, the Canadian dollar stood at C $ 1.0034 to close against the U.S. dollar or 99.66 U.S. cents, down from Friday in North America session at C $ 0.9997 against the U.S. dollar, or $ 1.0003.
With the Canadian dollar rally a global shake on Friday, the currency is still vulnerable to swings down, added Button.
Earlier in the session, the currency hit C $ 1.0050, its weakest level since 16 February. Button said break above this level would open the way to C $ 1.0150, an additional percentage for Canadian dollars lower.
Canadian bond prices edged higher across the curve, mimicking U.S. Treasuries in a flight-to-safety bid.
The two-year bond by 2 cents to 1.063 per cent of Canadian yield. The 10-year bond climbed 28 Canadian cents to yield 1.992 percent.