While most riskier commodity-geared currencies were rallying today, the Canadian dollar declined. With absence of other apparent reasons, market analysts pointed at the drop of crude oil prices as the most likely reason for the currency’s decline.
Crude oil fell about 3% on Monday. Market analysts speculated that the reason for the huge slump was the tweet from US President Donald Trump, which urged the Organization of Petroleum Exporting Countries to prevent oil prices from rising too much. The OPEC and some other oil-producing countries have agreed back in 2016 to limit their oil production to buoy prices for crude.
In terms of news from Canada itself, the start of the week does not have much to provide. That will change later during the week with the release of the Consumer Price Index on Wednesday and gross domestic product on Friday.
USD/CAD gained from 1.3134 to 1.3187 as of 23:53 GMT today. EUR/CAD rallied from 1.4884 to 1.4982. CAD/CHF dropped from 0.7614 to 0.7584.
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Canadian Dollar Follows Crude Oil in Decline
