The Canadian dollar reached an almost three-year high Thursday before retreating from that level.
The loonie rose 0.29 of a cent to 101.82 cents US, but gave up some of that gain to trade at 101.61, up 0.08, at about 9:30 a.m. ET.
The dollar was its strongest level since March 13, 2008, and came as crude oil reached close to two-year highs over worries that turmoil in the Mideast might disrupt shipments.
March oil was unchanged at $84.99 US a barrel on the New York Mercantile Exchange.
On the Toronto Stock Exchange, the main S&P/TSX composite index gave back 18 points to trade at 14,042, after surging 130 points Wednesday to 14,059.18, its first close above the 14,000-mark since July 2008.
Copper prices continued to retreat from the latest record high reached on Monday. The March copper contract in New York edged three cents lower to $4.44 US a pound.
Gold advanced for a fourth session, with the April contract on the Nymex ahead $6.20, to $1,381.30 US an ounce.
Traders are looking to the latest reading of inflation at the end of the week for an indication of when the Bank of Canada will resume pushing interest rates higher.
Statistics Canada is expected to report Friday that the consumer price index rose by 0.2 per cent in January, driven largely by rising food and energy prices.
Economists say the small gain would push the annualized rate down to 2.3 per cent, from 2.4 per cent the previous month.
The central bank makes its next interest rate announcement on March 1.
