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20.01.201521:21:12UTC+00Canadian dollar saps on lower rate speculation

The Canadian dollar sank to its lowest in over five years on bet the Bank of Canada might imply it was more possible to lower interest rates than to increase them before releasing its growth outlook tomorrow.

The loonie tumbled as much as 1.5%, the most since January 2, and it declined against most major counterparts.

Decline in crude will press the “central bank to lower its growth forecast by 0.5%,” said Charles St-Arnaud, Senior Economist at Nomura Securities International Inc.

The currency slid 1.4% to C$1.2113 per greenback, or 82.71 US cents. It reached C$1.2115, the lowest since April 2009. 

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