In early deals on Thursday, the Canadian dollar declined against its U.S., European and Japanese counterparts as oil fell below $77 a barrel today.
But the loonie gained against the aussie as the latter was weakened by equities.
U.S. crude for January delivery sank 98 cents to $76.98 a barrel at 3:07am ET, after falling by more than $1.00 to as low as $76.85. London Brent crude was down 77 cents at $77.67.
The U.S. Energy Information Administration's (EIA) inventory report released on Wednesday showed crude stockpiles rose 1.0 million barrels in the week to November 20.
The figure was lower than a Tuesday report by the American Petroleum Institute (API) that showed crude stocks rose 3.3 million barrels.
Consumer spending in the world's largest economy rose more than expected, while new jobless benefits claims dropped. New home sales in October also rose to their highest level in a year.
Oil markets have increasingly looked to economic data this year for signs of a global recovery to boost flagging demand.
Oil prices have more than doubled from below $33 in December, but remain 47 percent below the record of more than $147 hit in July 2008. Prices have risen amid rallying equity markets and a weaker greenback makes crude more attractive for foreign currency holders.
During early deals on Thursday, the Canadian dollar slumped to a new multi-week low of 82.25 against the yen. This may be compared to Wednesday's close of 83.61. On the downside, 82.12 is seen as the next target level for the Canadian currency.
Declines in most Asian and European stocks boosted demand for the safe-haven Japanese currency today. The yen thus jumped to a 14-year high against the dollar.
Japan's finance minister Hirohisa Fujii said today that he is watching the yen's upward trend "very carefully," suggesting he is becoming more concerned about the currency's rise, after it hit a 14-year high against the dollar. The government would take appropriate measure if currency moves are 'abnormal', he said.
The Canadian dollar fell to a 3-day low of 1.5908 against the euro in early trading on Thursday. If the loonie weakens further, it may target the 1.594 level. At yesterday's close, the euro-loonie pair was quoted at 1.5824.
The European Central Bank said Eurozone M3 money supply grew 0.3% year-on-year in October, much slower than the 1.8% increase seen in September. The expected growth rate was 0.8%. The three-month average of the annual growth rates of M3 over the period August to October decreased to 1.6%, from 2.5% recorded during July to September.
In early trading on Thursday, the Canadian dollar declined to 1.0564 against the US currency. The next downside target level for the loonie is seen at 1.0735. The greenback-loonie pair was worth 1.0454 at Wednesday's close.
The U.S. markets will be closed today in observance of 'Thanksgiving holiday'.
The Canadian dollar that closed yesterday's trading at 0.9745 against the Aussie soared to a new multi-week high of 0.9656 in early deals on Thursday. If the Canadian currency advances further, it may target the 0.956 level.
The fall in Australian dollar can be attributed to Q3 capex data as the capital expenditure fell unexpectedly. The report showed a 3.9 per cent fall in private capital expenditure in the third quarter, compared with an economists expectation of a rise of 1%,but planned investment for 2009/10 was revised up sharply.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.