The Canadian dollar slipped against most major currencies on Friday after a report showed that Canadian manufacturing sales unexpectedly fell in April.
Canadian manufacturing sales fell 0.8 percent in April to $49.1 billion, Statistics Canada said today. The third decline in four months trimmed progress made in March, when sales were up 1.6 percent.
The loonie fell to a new 1-week low of 76.73 against the yen at 8:35 am ET and the next downside target level for the loonie is seen at 76.00. The loonie-yen pair was quoted at 77.62 at yesterday's close.
The Bank of Japan left its benchmark interest rate unchanged and it did not announce any fresh monetary stimulus.
The Policy Board unanimously decided to retain the key uncollateralized overnight call rate steady at 0-0.1 percent. The size of the asset purchase and credit facility was also left unchanged at JPY 40 trillion and JPY 30 trillion respectively.
Against the Australian dollar, the loonie slipped to 1.0292, its weakest level since May 1. If the loonie slides further, it may target 1.035 level. The pair closed Thursday's deals at 1.0255.
The loonie declined to 1.0254 against the US dollar from an early 4-day high of 1.0222. On the downside, the loonie may target 1.03 level. At yesterday's close, the pair was worth 1.0228.
New York manufacturing activity has seen only a slight expansion in the month of June, according to a report released by the Federal Reserve Bank of New York, with the index of activity in the sector falling by much more than economists had anticipated.
The New York Fed said its general business conditions index fell to 2.3 in June from 17.1 in May, although a positive reading still indicates growth in regional manufacturing activity. Economists had expected the index to show a much more modest decrease to a reading of 13.8.
The U.S. industrial production report for May and Reuters and the University of Michigan's preliminary report on the consumer sentiment index for June are due shortly.
by RTT Staff Writer
For comments and feedback: firstname.lastname@example.org