By Commodity News Service Canada
WINNIPEG, September 12 – The Canadian dollar closed lower on Friday, continuing to drift closer to the 90 cents US mark.
Positive US retail sales data sent the already strong US dollar higher, resulting in a weaker Canadian currency, analysts said.
The Canadian dollar closed at US$0.9014 or US$1=C$1.1094 on Friday, which compares with Thursday’s North American settlement of US$0.9052 or US$1=C$1.1047.
Follow-through selling on recent sharp declines was also bearish, as was weakness in commodity prices, including crude oil and gold.
Concerns about slow economic growth in China and parts of Europe had traders shying away from riskier assets, including the Canadian dollar.
Canadian bonds ended lower on Friday, following the declines seen in the US Treasury market after the release of positive US retail sales data, brokers said.
The two-year bond yielded 1.159% late Friday, from 1.146% late Thursday. The 10-year bond yielded 2.238%, from 2.198%. Bond yields fall as their prices rise.
