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Forex - Loonie rises slightly vs. greenback as oil climbs

Published 05/26/2010, 07:35 AM
USD/CAD
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Investing.com – The Canadian dollar rose slightly against its U.S. counterpart on Wednesday as oil prices advanced more than 1.5%.

USD/CAD hit 1.067 during European morning trade, shedding 0.06%. The pair was likely to find support around 1.0534, Monday’s low, and resistance at 1.0854, Tuesdays high.

The surge in oil came after Asian stocks rebounded as investors hunted for bargains on Wednesday, following sharp losses during the previous session. Increases in oil often lift the loonie, due to Canada’s sizable energy sector.

Later in the day, the U.S. Census Bureau was due to publish key data on durable goods orders, a leading indicator of production. The bureau was also set to release a report on new U.S. home sales.

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