Oil Proxy CAD Gets A Lift On Russian Comments

  • Crude market caught short after Russian comments
  • Loonie breaks psychological C$1.40 handle with ease

Russian oil minister Novak is crossing on the wires and discussing the proposed OPEC/Non-OPEC meeting. He said Russia is ready to meet in any format. He clarified that the meeting is meant for energy ministers and that no firm agreement have been reached.

Oil has continued to gain on the comments and WTI crude is threatening to penetrate the $34 handle as we head into the North American session. Recent OPEC and non-OPEC comments have see the CAD trade in a large range over the past five sessions (CAD$1.4800-CAD$1.3980). Currently, many believe that producers could even have a meeting and get some potential ‘pledges’ but will they get a consensus to cut production?

USD/CAD is under pressure, breaking through CAD$1.40 handle with ease (C$1.3970), while the crude market is trading “short” and pushing oil prices higher (WTI $33.40, Brent $35.60).

More to follow

Dean Popplewell

Dean Popplewell

Vice-President of Market Analysis at MarketPulse
Dean Popplewell has nearly two decades of experience trading currencies and fixed income instruments. He has a deep understanding of market fundamentals and the impact of global events on capital markets. He is respected among professional traders for his skilled analysis and career history as global head of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean has played an instrumental role in driving awareness of the forex market as an emerging asset class for retail investors, as well as providing expert counsel to a number of internal teams on how to best serve clients and industry stakeholders.
Dean Popplewell