Loonie sharpens decline to six-week low

The Canadian dollar kept falling today to a six-week low, after marking the fourth daily decline in a row, as the U.S. dollar surges against main rivals, and following the Bank of England's meeting.
 
USD/CAD fell to 1.3352 from the opening of 1.3314, with an intraday high at 1.3357, and a low at 1.3284.
 
Loonie's current decline comes after the Bank of Canada held interest rates unchanged at 0.50%, saying the current monetary policy is appropriate for the current economic conditions, specially as exports weaken while productivity slips, hurting the local currency.
 
On the other hand, the dollar rose against a basket of currencies to a seven-week high amid expectations for a Fed rate hike in the Federal Reserve's March meeting, which would widen the policy gap between the Fed and BoC.
 
The dollar index, tracking the greenback against a basket of six major currencies, jumped to 101.70 from the opening of 101.40, with an intraday high at 101.96, and a low at 101.20.