TORONTO _ The Canadian dollar was slightly higher Thursday as markets focused on some glum purchasing managers data from China and the eurozone and looked to a key speech from the head of the Federal Reserve.
The loonie rose 0.06 of a cent to 91.21 cents US.
The dollar lost almost 1/4 of a cent Wednesday as the minutes from the latest Federal Reserve meeting indicated that the central bank is in no rush to hike rates. However, the minutes also showed greater dissension among Fed members on how quickly the labour market is improving, a key element in determining when the Fed will raise rates from near zero where they've been since the financial crisis.
Slack in the labour market has been a particular concern, a topic that Fed chairwoman Janet Yellen is expected to address in her speech to the central bank's economic symposium in Jackson Hole, Wyo., on Friday.
Oil and metal prices backed off as the preliminary version of HSBC's manufacturing index for China fell to a three-month low of 50.3 from 51.7 in July, indicating that manufacturing businesses are barely growing.
The HSBC report adds to other recent indicators that the recovery is still shaky. Earlier this month, data showed that China's exports accelerated but imports sagged, which may reflect weakening domestic demand.
Also, the purchasing managers index for the eurozone published by Markit Economics fell to 52.8 from 53.8 in July. The report followed other data earlier this month that showed the 18-country eurozone grew at only a slow pace in August, a sign it remains sluggish after a disappointing second quarter in which it did not expand at all.
The news from Japan was more positive _ there was a firm increase in Japan's manufacturing PMI to 52.4 from 50.5 in the prior month, ahead of expectations and the best level since March.
On the commodity markets, October crude in New York declined 67 cents to US$92.78 a barrel.
September copper slipped two cents to US$3.16 a pound while December bullion fell $18.20 to US$1,277 an ounce.