The Canadian dollar declined against its major rivals in early New York deals on Monday, as European stocks and crude oil prices fell after Greek voters rejected a bailout offer in Sunday’s referendum, leading to uncertainty about its future in euro area.
Germany says it see no reason to re-start talks.
U.S. crude oil fell $2.49 to $54.44 a barrel, its worst daily losses in months.
Worries about China’s stock markets also dampened investor sentiment. China’s State Council has suspended the initial public offerings of 28 companies, which had reportedly secured earlier approvals to float on Shanghai and Shenzen stock exchanges.
The loonie was lower against its major rivals, except the greenback, in the Asian session.
The loonie dropped to 1.2653 versus the greenback, its lowest since April 13, from an early high of 1.2562. On the downside, 1.27 is possibly seen as the next support for the loonie.
The loonie was trading at 0.9502 against the aussie, off early weekly high of 0.9405. The loonie is likely to target support around the 0.955 area.
The loonie eased to 96.87 against the yen, from an early high of 97.56.The loonie is thus heading to pierce its early nearly 3-month low of 96.60. Continuation of the loonie’s downtrend may take it to a support around the 96.00 zone.
The loonie, having advanced to a 6-day high of 1.3821 against the euro at 5:30 pm ET, reversed direction with the pair trading at 1.3962. Next key support for the loonie may be located near the 1.405 mark.
Looking ahead, Markit’s U.S. services PMI and ISM non-manufacturing composite index for June are due shortly.
The material has been provided by InstaForex Company – www.instaforex.com