The Canadian Dollar has edged higher against the Pound after the price of crude oil, Canada’s biggest export increased over growing concerns that the tensions in Syria could disrupt oil supplies from the Middle East.
The price of oil rose by 2.7% after Syria’s Walid al-Muallem ominously warned that the country is capable of defending itself and that they would ‘surprise’ the world should the United States launch air strikes.
“People are expecting military action, which is always disconcerting to oil markets. The possibility makes people very nervous and they are bidding up prices,” Michael Lynch, president of Strategic Energy and Economic Research told Bloomberg.
Against the US Dollar the ‘loonie’ weakened for a second day as demand for safe havens bolstered the US currency.
“You have oil quite a bit stronger today, so that should dictate a higher Canadian Dollar, but you have events in Syria and elsewhere are causing a bit of flight to the US Dollar. This is a mostly geopolitical move, given that commodity prices are actually higher,” said Blake Jespersen, managing director of forex at the Bank of Montreal.
This week is a relatively quiet one for Canadian data releases with the most important due for publication on Friday. Economists will be paying close attention to the Canadian GDP data which is expected to show a slowdown in the nation’s economy. As the week progresses the currency is likely to soften further against the US Dollar as rumour abounds that military strikes could begin as soon as this Thursday.
Current Canadian Dollar (CAD) Exchange Rates:
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The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9499 <
The Canadian Dollar /Euro Exchange Rate is currently in the region of: 0.7119 <
The Canadian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6124 >
The Canadian Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0612 >
The Canadian Dollar /New Zealand Dollar Exchange Rate is currently in the region of: 1.2194 >
The Pound Sterling/Canadian Dollar Exchange Rate is currently in the region of: 1.6328 <
The US Dollar/ Canadian Dollar Exchange Rate is currently in the region of: 1.0527 >
The Euro/Canadian Dollar Exchange Rate is currently in the region of: 1.4046 <
The New Zealand Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.8200<
The Australian Dollar/Canadian Dollar Exchange Rate is currently in the region of: 0.9423 <
(Correct as of 15:30 pm GMT)
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