BEFORE THE BELL: NAFTA negotiations pull Loonie down further; Crude prices gain on hurricane worries
Volatile NAFTA negotiations are continuing to weigh on Canada’s currency this week.
The Loonie is falling to 76 cents US this morning as talks between Canada and the US are expected to start again on Wednesday.
Donald Trump has continued to fuel the negativity against Canada’s involvement, saying he didn’t see any political necessity for Ottawa to be involved.
Meanwhile, the greenback is enjoying some healthy growth as investors found stability in the US currency with American central bank officials expected to steadily raise the interest rate over the next few months.
Hurricane worries on the Gulf of Mexico have led to evacuations at two crude production facilities. This is boosting the price of US crude higher to 71.24 a barrel, offsetting worries about a dip in manufacturing in China.
The Chinese economy could take another hit if Donald Trump follows through with another round of trade tariffs against the eastern country at the end of this week.