(Updated for market activity and analyst quotes in Article 3)
Canadian dollar is 0.5% weaker than greenback
Touchs a one -month low at 1.4541
Oil price decreases by about 2%
2-year yield falls 8 basis points
Toronto, March 3 (Reuters) – Canadian dollars decreased by one month against their US counterparts on Monday as US President Donald Trump said that the tariff on Canada and Mexico would be effective on Tuesday to reduce another reprive expectations.
Loni, after touching its weakest intrade level from 3 February to 3 February to 1.4541, Luni was trading at 1.4541 at 1.4541, Luni was trading at US $ 1.4535 per US, or 0.5% less at 68.80 US cents.
Carpe’s main market strategist, Carl Shamota said in a note, “Recently an hour ago, the markets assumed that tariffs would not be installed, or they would be dramatically watered.” Trump said there was no chance for Mexico or Canada to prevent 25% tariffs from being effective on Tuesday, which sent financial markets on the possibility of new economic obstacles in North America.
The implementation of the tariff was first pushed back for one month. Canada sends about 75% of its exports to the United States, including oil.
American crude oil futures settled at about 2% less $ 68.37, a barrel OPEC on the report will move forward with an increase in a planned oil production in April and that a business war can damage the global economy on concerns. S&P Global Canada Manufacturing Purchase Managers Index (PMI) fell from 51.6 to 47.8 in January, its first step below 50.0 No -Change Mark since August, as the uncertain trade approach turned the most pessimist since the beginning of the Kovid -19 Pandemic.
Canadian bond yields fell beyond the curve as investors took bets on the bank of Canada interest rate cut this month.
2-year was down 8 basis points at 2.493%, its lowest level since 3 February. (Reporting by Fergel Smith in Toronto; editing by Nia Williams)
