Canadian Dollar Rises After BOC Suggests Oil Shock Damage Waning

The Canadian dollar touched its highest level in two months after the central bank kept borrowing rates unchanged, pointing to signs damage from an oil-price shock may already be fading and manufacturing exports picking up.

The currency gained against all its major peers as the overnight lending rate was kept at 0.75 percent for a second straight meeting, after a surprise cut in January. In its monetary policy report, the Bank of Canada said the economy is responding to the stimulus it added to cushion Canada’s economy from the fall in oil, its largest export, and forecast faster growth later in the year.