Canada Dollar Falls Most in Year as Inflation Slows to 2009 Low
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The Canadian dollar posted its biggest loss in a year against its U.S. peer as the nation’s annual inflation rate fell in April to its slowest in more than three years, bolstering the case for relaxing monetary policy.
Canada’s currency reached its lowest point in two months against the greenback as three U.S. policy makers called for the Federal Reserve to taper asset purchases that have devalued the currency. Canada’s dollar fell against the majority of its 16 most-traded peers before data May 22 forecast to show retail sales slowed. The slowest pace of inflation since October 2009 is sparking bets incoming Bank of Canada Governor Stephen Poloz may remove Mark Carney’s bias toward raising interest rates.