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TSX set for 7th day of gains, oil price climbs above $35 US
CBC News Posted: Mar 04, 2016 1:31 PM ET Last Updated: Mar 04, 2016 1:40 PM ET
The Canadian dollar headed above 75 cents US for the first time since late November 2015 on Friday amid optimism over U.S. jobs and strong export figures.
The loonie was up .42 of a cent to 75.01 cents US on Friday. It sank below 69 cents on Jan. 19, prompting bearish forecasts that it could sink to 59 cents, but has been rising in the past two weeks amid signs of strength in gold, oil and the stock markets.
There was good news on Canadian trade on Friday, with Statistics Canada reporting exports up one per cent on the month in January and 7.3 per cent on an annual basis.
One of the drivers was the U.S. jobs report, which showed 242,000 new American jobs were created last month, well ahead of expectations. More employed consumers in the U.S. are thought to be more likely to buy Canadian goods and services, pushing the loonie higher.
The news had the TSX on track for its seventh straight day of gains. The Toronto index was up 134 points at midday to 13,258. That's the highest level of the year for the TSX, after selling off heavily for several weeks starting in late December.
A driver of the loonie's surge was likely higher oil prices, which also strengthened. West Texas Intermediate crude, the main North American contract, rose $1.12 to $35.72 US a barrel.
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