TORONTO - The Canadian dollar was slightly lower as commodity prices fell and markets awaited the latest readings on U.S. consumer confidence and house prices.
The loonie slipped 0.04 of a cent to 90.32 cents US.
Economists believe the U.S. Conference Board's index will show a decline for February following two months of gains because of adverse weather conditions.
Traders also looked to the release of the latest S&P Case-Shiller housing price index for December. Economists looked for a decline in that index as well, reflecting a sizable 8.7 per cent drop in signed contracts for existing homes amid frigid temperatures and heavy snow in many areas.
Commodity prices declined with markets rattled by a deceleration in the rise of Chinese housing prices in January and weakness in China’s currency, which has long been a one-way bet on slow steady appreciation.
Last week’s decline in the tightly controlled yuan prompted suggestions Beijing might be trying to support exporters and help offset weakening domestic demand. That came after an HSBC survey showed Chinese manufacturing activity in February tumbled to a seven-month low.
The April crude contract on the New York Mercantile Exchange fell $1.26 to US$101.56 a barrel.
March copper fell for a second day, down three cents to US$3.24 a pound while April gold gave back $2.20 to US$1,335.80 an ounce.
Traders also awaited key trade and growth data later in the week.
Statistics Canada releases growth data for December and the fourth quarter on Friday. Economists looked for the economy to contract by 0.3 per cent in December, largely because of crippling ice storms in Ontario and Quebec.
On Thursday, the agency reports the latest data on the country’s major trade indicator. CIBC World Markets believes the current account deficit is expected to grow by $2 billion to $17.5 billion.
Friday will also see the release of the first revision to U.S. fourth-quarter gross domestic product growth. The initial reading came in at 3.2 per cent but worsening weather in December likely pushed growth to around 2.7 per cent.