TORONTO – The Canadian dollar was lower Wednesday amid another indication of how severe winter weather is impacting the U.S. economy.

The loonie moved down 0.14 of a cent to 91.18 cents US.

Data showed that U.S. housing starts fell by 16 per cent to an annualized rate of 880,000, worse than the expected reading of 899,000.

Other data released Tuesday underscored how large amounts of snow and freezing temperatures are having an impact on U.S. economic performance. The Empire State Manufacturing Index for February, a gauge of manufacturing activity in the U.S. Northeast, declined much more than expected while the U.S. National Association of Home Builders’ buyer traffic index fell sharply as fewer prospective buyers felt like braving severe winter conditions in many parts of the U.S.

Later in the day, traders take in the latest read on wholesale trade from Statistics Canada.

They also looked to the mid-afternoon release of the minutes from the latest Federal Reserve meeting, where the central bank moved to further taper its bond purchases to $64 billion a month. Traders hoped to see some guidance from the Fed on future tapering.

Commodities were mixed with March crude on the New York Mercantile Exchange rose 58 cents to US$103.01 a barrel.

March copper was unchanged at US$3.29 a pound while April bullion faded $4.50 to US$1,319.90 an ounce.