(Pexels)

Loonie soars as interest rates rise

The Bank of Canada hiked the interest rate for the first time in 7 years on Wednesday.

The Canadian dollar soared this morning after the Bank of Canada announced it was hiking its key lending rate.

The loonie was up 0.67 of a U.S. cent at 78.06 cents US about an hour after the central bank’s decision. The last time the dollar closed above 78 cents US was in August 2016.

The Bank of Canada says it’s raising its benchmark interest rate by a quarter of a percentage point to 0.75 per cent — its first increase in nearly seven years.

It had slashed its interest rates in 2015 to help the economy deal with a plunge in oil prices that began in late 2014. The bank’s governor has said recently that those rate cuts have done their job.

Canada’s dollar has been rising for weeks amid growing expectations that the rate would be raised. Its gain was was also helped on Wednesday by higher oil and gold prices.

Just Posted

Saanich man arrested in cross-border drug smuggling operation

William Milton Barnes of Greater Victoria faces multiple charges following six-month investigation

Greater Victoria’s living wage would afford you one latte per year

Cost of living increases drive region’s living wage up 49 cents to $20.50 an hour

Vancouver Island is home to some of the ‘rattiest’ cities in B.C.

Three municipalities in Greater Victoria, and three more around the Island have gnawed their way into the top 20

Spill at Victoria airport prompts emergency response

North Saanich Fire and ambulance respond to spill of unknown substance

North Saanich targets recreational pot on ALR land

District adds voice to municipalities calling for production to stay off ALR land

VIDEO: B.C. man recognized for spinning basketball on toothbrush

Abbotsford man holds world record for longest duration of time of 60.5 seconds

Cat found stuffed in box in Dumpster in northeastern B.C.

Still alive, cat was found near Dawson Creek restrained with zip ties, legs forced behind neck

Fears prompt feds to establish BBQ brush safety standards

Wire-bristle safety fears prompt Ottawa to establish BBQ brush safety standards

Don’t forget about women left to sweep up shards of glass ceiling, W7 urges G7

When Prime Minister Justin Trudeau champions gender equality at the G7 he is being asked to raise the concerns of marginalized women

Canadian air travel industry fears pilot flight-time limits will go too far

Air carriers urge feds to slow down flight-time limits for sleepy pilots

Sky-high farmland prices ‘ruinous’ for B.C. agriculture: UFV ag professor

Fraser Valley-based Tom Baumann says $80K-per-acre in area threatens food security

Sights of Saanich bring smiles to Japanese delegation

A small leap highlighted the short but potentially historic visit of a… Continue reading

Political heavyweights hit Washington in hunt for NAFTA deal

Officials from Prime Minister’s office, Foreign Affairs Minister Chrystia Freeland part of talks

Greenbelt Microgreens recall in B.C., Alberta, due to Listeria concerns

Canadian Food Inspection Agency says there have been no illnesses linked to the microgreens

Most Read