TORONTO – The Canadian dollar was down nearly half a cent Friday morning, falling 0.41 of cent to 96.73 cents US.

The loonie has been trading near 11-month lows against the U.S. dollar due to a combination of a stronger American currency and lower prices for many of the commodities that Canada produces.

On Friday, the U.S. Commerce department reported orders for long-lasting manufactured goods rebounded in April, buoyed by more demand for military and civilian aircraft and an increase in business investment.

The U.S. Commerce Department says durable goods orders rose 3.3 per cent last month after a 5.9 decline in March.

And a measure of business investment plans increased 1.2 per cent after a revised 0.9 per cent gain in March. Business ordered more machinery, computers and electronics last month.

More spending by businesses could ease fears that companies are worried about slower global growth and deep cuts in U.S. federal spending.

Durable goods are items expected to last at least three years.

There is very little else on the economic docket in both U.S. and Canada, which will mean there will be little in the way of surprises for the currency markets.

The commodities market continued see modest declines. The July crude contract was down 65 cents to US$93.60 a barrel, while June gold bullion lost 20 cents to US$1,391.60 an ounce. July copper was unchanged at US$3.30 a pound.