TORONTO _ The Canadian dollar moved higher on Wednesday morning ahead of an interest rate decision from the Bank of Canada and a slight gain in key commodities prices.
The loonie picked up 0.07 of a cent to 87.84 cents US shortly before stock markets opened.
The central bank is widely expected to keep its key overnight rate at 1.0 per cent when it makes the announcement at 10 a.m. ET.
Attention will also be focused on the BoC's comments on the sustainability of recent improvements in the economy.
``Third-quarter growth was above its forecast and inflation has been slightly firmer, but the Bank is still likely to focus on the unsustainable composition of growth and the transient nature of this lift in inflation,'' wrote RBC Dominion Securities chief technical analyst George Davis in a note.
``Overall, that should leave it with justification to hold onto its existing neutral stance.''
Elsewhere, the January crude contract on the New York Mercantile Exchange is up 60 cents at US$67.48 a barrel.
February bullion is up $3.20 at US$1,202.60 an ounce, while March copper is down 2.3 cents at US$2.869 a pound.
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