TORONTO _ The Canadian dollar was higher Thursday as the American currency softened against other major currencies.
The loonie was up 0.18 of a cent to 89.69 cents US following a gain of just over one-fifth of a cent on Wednesday after the greenback weakened amid a weaker than expected read on U.S. manufacturing during September.
Prior to that, the Canadian currency had a dreadful September, losing over 2 1/2 US cents as the U.S. dollar strengthened amid growing speculation that the U.S. Federal Reserve could move to hike interest rates next year sooner than expected.
The commodity-sensitive loonie also suffered as the higher U.S. dollar helped depress prices for oil and metals.
Meanwhile, there was positive U.S. jobs data a day ahead of the release of the U.S. government's employment report for September.
The number of people seeking U.S. unemployment benefits dropped 8,000 last week to a seasonally adjusted 287,000, as the total number of Americans collecting benefits dropped to its lowest level in more than eight years.
Economists expect Friday's data to show the economy created about 215,000 jobs during September.
Canadian jobs data for September will be released Oct. 10.
On the commodity markets, crude oil prices fell below US$90 a barrel for the first time since April 2013 amid lower demand and rising supplies.
The November crude contract in New York fell $1.15 to US$89.58 after Saudi Aramco, Saudi Arabia's national petroleum company, on Wednesday cut its official selling price for crude oil to the U.S., Europe and Asia, with the largest cuts in Asia where oil producers are competing for market share.
A strong U.S. dollar has also helped push Nymex crude down around nine per cent year-to-date.
Elsewhere on the commodity markets, December copper was down two cents to US$3.02 and December bullion faded $2.50 to US$1,213.