Canada Dollar Falls for Second Day Amid Renewal of Taper Bets
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Canada’s dollar fell for a second day as traders started to price in a reduction in monetary stimulus after the U.S. Federal Reserve surprised markets this week by maintaining its $85 billion in monthly bond buying.
The currency extended the decline after BlackBerry Ltd., the smartphone maker that’s evaluating a sale, said it will cut 4,500 jobs and record an inventory writedown of as much as $960 million. Canada’s inflation rate slowed for the first time in four months in August, approaching the bottom of the central bank’s target band. Fed Bank of St. Louis President James Bullard said today in an interview with Bloomberg Television that a “small” tapering is possible next month.