Investing.com - The Canadian dollar fell against its U.S. counterpart on Wednesday as investors favored the greenback amid ongoing fears Greece is flirting with abandoning the eurozone, which sparked a worldwide rush for the safety of the U.S. currency.
In Asian trading on Wednesday, USD/CAD hit 1.0079, up 0.07%, up from a low of 1.0064 and off a high of 1.0081.
The pair sought to test support at 0.9991, the low of May 15, and resistance at 1.0142, the high of Jan. 24.
Talks among Greek political parties aimed at forming a coalition government have ended in collapse, stoking fears the country will hold a new round of elections that would boost those who favor abandoning painful austerity measures.
Greece has agreed to politically unpopular belt-tightening measures such as tax hikes, spending cuts and public-sector layoffs in exchange for bailout money, measures a growing number of Greeks say aren't helping the country and aren't worth the rescue funding.
A Greek exit from the currency zone could rattle markets worldwide, and investors stocked up on dollars Wednesday at the expense of the Canadian currency.
In Canada, solid unemployment and housing-sector figures have been unable to convince investors to go long on the Canadian currency and overlook the European debt crisis.
The Canadian dollar, meanwhile, was down against the euro and up against the yen, with EUR/CAD up 0.07% and trading at 1.2831 and CAD/JPY up 0.18% at 79.76.
Later Wednesday, the U.S. will release official data on building permits and housing starts, followed by Federal Reserve data on the capacity utilization rate and industrial production.
Crude inventory data will publish as well the minutes of the Fed’s latest monetary policy meeting.
Later in the day, Canada is to produce official data on manufacturing sales.
In Asian trading on Wednesday, USD/CAD hit 1.0079, up 0.07%, up from a low of 1.0064 and off a high of 1.0081.
The pair sought to test support at 0.9991, the low of May 15, and resistance at 1.0142, the high of Jan. 24.
Talks among Greek political parties aimed at forming a coalition government have ended in collapse, stoking fears the country will hold a new round of elections that would boost those who favor abandoning painful austerity measures.
Greece has agreed to politically unpopular belt-tightening measures such as tax hikes, spending cuts and public-sector layoffs in exchange for bailout money, measures a growing number of Greeks say aren't helping the country and aren't worth the rescue funding.
A Greek exit from the currency zone could rattle markets worldwide, and investors stocked up on dollars Wednesday at the expense of the Canadian currency.
In Canada, solid unemployment and housing-sector figures have been unable to convince investors to go long on the Canadian currency and overlook the European debt crisis.
The Canadian dollar, meanwhile, was down against the euro and up against the yen, with EUR/CAD up 0.07% and trading at 1.2831 and CAD/JPY up 0.18% at 79.76.
Later Wednesday, the U.S. will release official data on building permits and housing starts, followed by Federal Reserve data on the capacity utilization rate and industrial production.
Crude inventory data will publish as well the minutes of the Fed’s latest monetary policy meeting.
Later in the day, Canada is to produce official data on manufacturing sales.