The Canadian dollar closed higher Thursday while the greenback weakened after the U.S. Federal Reserve indicated further quantitative easing could be on the way. This involves the central bank printing more money in order to buy up bonds.
The loonie was up 0.25 of a cent at 99.87 cents (U.S.).
Minutes of the Fed’s Oct. 23-24 policy meeting released Wednesday suggest that it might unveil a bond buying program in December to replace one that expires at year’s end. The bond purchases would be intended to lower long-term borrowing rates to encourage spending and strengthen the economy.