The Canadian dollar has risen to a two-week high against the U.S. currency as the price of oil inches higher and the U.S. government passed legislation to raise its debt limit.
The loonie is trading 0.9% higher at 74.38 U.S. cents, its highest level since May 16 of this year.
Other commodity driven currencies, such as the Australia and New Zealand dollars, also increased in value.
The Canadian dollar’s rise comes as oil prices move back above $70 U.S. per barrel and the U.S. Senate passed a bill to raise the country’s debt ceiling, avoiding a potential default.
Canadian government bond yields eased across the curve, mirroring changes in U.S. Treasuries. The yield on the 10-year bond in Canada fell 3.5 basis points to 3.151%.
